Strong job growth, landlord friendly, low property taxes, cash flow opportunities, and proximity to one of the wealthiest areas in the world (Silicon Valley).

What taxes will we need to pay besides the capital gains tax? 

I studied business administration at American University and took a lot of courses related to finance/investing.

Unfortunately the barrier for entry into a lower-end home is about $1 million now, and property taxes are low (likely less than $5k).I currently have a financed home with about ~250k in equity (2% interest rate), and we have about ~220k in cash. 

Multiple billion dollar companies are investing into our area, such as Intel, Google, and Amazon, due to reasons such as lower costs on land, great tax abatement opportunities, and an attractive cost of living for employees. 

Here's my question: Do I qualify for a tax deduction considering the substantial loss on the property? 

I'm think on starting on to obtain government listing (pre-foreclosure, tax liens, water shut off, etc) and also probably call or text Real Estate Agents on listings they might have that aren't on the MLS.

they will get the first $500K of profit tax free. 

I think it MAY save some $ when it comes to tax time - I think we would have a lot more deductions possible to take, she could possibly have REP status.

Is your DSCR ratio greater than 1-meaning are you cash flowing (according to the lender's criteria of mortgage, property taxes and insurance (and HOA) if applicable).