Conventional SDIRA, pay capital gains tax on amount over initial purchase price?

The chart below shows the additional cost for a base rate for situations including investment property.

But it will still allow you to afford a SIGNIFICANTLY higher price point than if you did not house hack.So, if real estate appreciates 5% per year, then a $500,000 property will have $138,000 in additional value after 5 years.

An additional benefit of a detailed engineering-based Cost Segregation Study is that it can increase potential insurance premium savings as well as provide support for the property tax appeals process.

- [ ] Seller may require additional insurance coverage.9.

Some say that you have to file a separate civil action (in addition to the actions to remove the tenant)  to be awarded a judgement against the tenant and some things I read online seem to imply you can do them both at once through 1 action. 

Will he still have to pay capital gains if he sells? 

In addition to the down payment.

Once you gain familiarity with you first investment, you could ideally do more house hacks or investments.

Now fast forward and my friends and family are investing too, because it is seen as a way to gain stability.