That way, if you find a deal like this, you can keep your cash capital-gains-free? 

Specifically, I am looking to track the projected rehab cost of each unit, cash flow from rented units, first lien costs, general partners and limited partner returns.

While there are many advantages like low property taxes, landlord friendly, strong appreciation it's not going to be as cheap as the Midwest and have the cash flow with 25% down.

I haven't researched it much but I tend to see a fair amount of listings for this type of home and am just interested if there are any regulations, rules, red flags I should know about if I decide to pursue this niche.

I have quite a bit of cash in my high yields savings and about 300k in my 401k/IRA portfolio (how much is actually mine vs IRS after management fees I have no idea.)  

I also use the system from this book to manage cash and find it very useful.https://a.co/d/1tnzkhy

Purchase price: $115,000 Cash invested: $35,000 Sale price: $240,000 Move in ready, fully renovated townhouse, 2 bedrooms with 2 1/2 bathrooms and ample closet space including walk-in closets in each master bedroom.

Might be able to find an exception somewhere (might have to reduce LTV/value by amount), but typically pretty black and white for DSCR regarding no rehab needed

For the amount of amenities and what the fee pays for, do you think that it's too much? 

Is there any Business Owner Occupied Element or is a cash flow investment3.