I've seen so many people buy landlocked properties, partial ownership, worthless strips, land in flood zone, wrong house, and so many other pitfalls.When you are actually ready to bid,maybe 3-4th auction.

You are going to have big problems with your neighbors, turning your house into a hotel.

I believe we will be able to rent the 1300sq ft 4/2 house for $2500.

Multifamily here in Co Springs and Denver area has been "overpriced" somewhat because of the military presence and rise in popularity of house hacking. 

House-hack, house-hack, house-hack.

I wonder if I could deduct mortgage interest based on the basement's proportion to the entire house (1,600/(1,600+2,000)).

The house will be ready to sell in 3 months. 

I am a veteran and want to use my VA loan to house hack a 4 unit, just curios if there is a market for it. 

@Mikhail EgeDoes Alex live in the house he's renting for 4k per month?

Simply put, it will not last for over a month.Therefore, IF I want this property, I cannot wait for my current rental to sell, get the funds in the 1031 Exchange’s escrow, and THEN pursue this house, as it will certainly be gone.