So if your partner and you have a deal coming up soon, then your best bet is to start with your own surrounding.

Their is definitely a lot of activity with owner occupants purchasing.

I have an RE agent license even though I don’t work actively as an agent, hence I know what overall prices are in the neighborhood.

If you and your wife file a joint return then from the federal perspective you and she (or rather the tax return that reports the activity of the properties - all of them both from during your marriage and before your marriage) are one and the same tax payer.

Anyways, your best bet is to find precedent in your target area, or close to it, and see if you can get in contact with them to see what they went through. 

I'd want someone to have my back.Second, if I were to "forget" to mention those kinds of things, my reputation would be in the toilet as fast as you can say "Yelp".I'd bet most good agents would do exactly the same thing. 

Best bet: connect with local investors/lenders/brokers to narrow your focus (what type of asset, what sub-market of the metroplex).

We are from out of state, so our agent will need to be actively involved in our due diligence process.  

If you take SD, you dont itemize, but the expense related to rental activity has nothing to do with itemize deduction.Your rental income is taxed if you have net rental income. ( Rents- expenses- depreciation). 

The area is growing and I anticipate rents going up as well as house prices, i don't want to bet on this but it does give me some comfort that equity will increase over the next few years.