I also like some of the apartment inventory in Lake County. 

Buildings require maintenance.

Focus on how to juice cash flow if possible (rent by the room, separating spaces, etc.) or decreasing expenses (assuming a loan, looking at new build incentives, aggressive offers w/ rate buy downs that work for you, etc.) 

On the other hand, Option 2 with the BRRRR strategy entails owning a single property outright, building long-term equity, and potentially cashing out through renovations, but it's a slower ride, relying on successful renovations and favorable refinancing options, and you're starting with just one property, which may limit your income potential.

For newly constructed, purchased or renovated properties and also retroactive generally over the last 10 years, building components are properly classified into individual units of property and accurate recovery periods for computing depreciation deductions.

Is it a basement apartment? 

My locations are a 10-unit building and a 7-unit building.

If you don't already qualify, the answer may be you need to save a larger down payment, look for a cheaper property, or wait a few more months to build longer credit history.Good luck and don't forget to save a beefy emergency fund!

At the end of the day, it's all about steady cash flow and building equity over time. 

Building off of what we discussed so others who are perusing the forums can also see.