Obviously rates can't stay at 3% forever, so if you didn't know increases were coming then I don't know what to tell you.

A 40-50% fee increase doesn't feel right.

Are you expecting to increase the value due to fix up? 

Also, Section 8 froze any rent increases for 3 years, and now says only 3% rise and must be documented with an improvement for the tenant, not just rise in real estate tax or insurance costs, and must be approved by them in advance, and this is even though I'm already significantly below market rent.

My current property insurance provider is Nationwide and have outrageously increased the rates 2.5 times in last two years.

We need to move into a unit for our loan, but plan to just move in when a unit becomes vacant.We think the fair market rent is $900 and would like to start heading that way over time.The question: We want to get as much information from tenants as possible before deciding how to proceed with increases, etc.

I have little actual investment experience thus far in my career, as I am still in the stage where I do not feel I have enough knowledge to be confident in decisions regarding what to do with my money.

And at a 5k increase?

You can do land contracts season them then sell to investors increase your capital and buy more.

I know quite a few investors who purchase 2 bedrooms and add a 3rd bedroom to increase value.