I take those unlendable properties and do the work necessary to not only make them visually appealing but also qualify for an FHA or VA loan.

If the deal is worth it I could withdraw from my IRA.At this point I think I'd have to get a hard money loan and definitely have skin in the game to get the loan.

I became the largest unit owner in a town of about 1200 that way.It's a nice advantage this being THE rental buyer but absolutely imperative that you act above board at all times in a small town.

This is true if the duration is 5, 10, 20, 30, 40, 50, 60 years; it does not matter what number of years you want to start the basis at.I do not know your current living situation but knowing that I am pro investing local this is what I would do: 1) Look for a detached duplex local (in OC) that has sweat equity but can still qualifies for an FHA loan.   2) Purchase the detached duplex using the FHA loan (at 5% of FHA down your $50K will go a long ways) and house hack the duplex living in the more thrashed unit 3) Rent the "bettter" unit while referring to yourself as the Property Manager (not the owner) 4) while you live in the more thrashed unit I would work on earning the sweat equity (rehab the place) 5) when done rehabbing the more thrashed place I would consider if I want to keep the tenant of the other unit. 

My parents who own our company keep telling me it is not possible for me to do this deal.I'd been working to get pre-approved for a loan to potentially utilize FHA 203k but my pay structure is commission based for the first time so I qualify for basically nothing (or the bank I tried to work with is the worst). 

., you should easily qualify for a $100k HELOC or more if your financial situation is tight.

It looks likes a global trade war that will raise prices across the board just started here in March of 2018, so sell sell sell is the best option if you believe that the drop in consumer discretionary spending will leave less money in people's pockets leading to a recession and/or downturn in real estate values. 

They have more skin in the game then you do.Make sure you get clear title.

Do they have similar “skin in the game?”

The 1031 process starts with the sale of your old property and a qualified intermediary must be in place prior to the sale to document and hold funds.