If we had hundreds of loans out, we’d have enough monthly income to aggregate the payments into additional loans—but we don’t.If you do this, your note will have to have a compounding clause in it, provided by your lending attorney.

Apologies for assuming the worst, but the post feels more like a pitch or marketing content than a standard forum post looking for help or providing subject matter expertise. 

You will also provide the whole amount if you plan on repaying the loan in full beforehand.  

Firstly my objectives•To provide uncorrelated predictable income streams while allowing for the opportunity of capital appreciation•To provide high % yields.

Depending on how big your portfolio is it might be more or less expensive for you.

Depends on what your goals are. 1-4 units are still residential, so it doesn't really matter how you start.

Dallas-Fort Worth offers growth and opportunity, but smaller markets like Sioux Falls or Des Moines provide stability.

I agree with many of @Alan Asriants' points, especially when considering OOS Sec. 8 investing.A lower price point or smaller investment doesn't always mean low risk.House-hacking locally could be a better transition depending on your goals and situation.

It just depends.

So I'd say the answer to your question is it depends.