My parents were and still are invested in both SF & MF property in BC so I have seen some behind the scenes of the ups and downs of managing apartment buildings, tenant grow ops in basements, capital gains and losses. 

I have had clients use them for mutliple types of losses and they've done an excellent job for the clients.

Here’s the risk involved with that:If the market drops when you want to pull the money then you either accept the loss or are limited to using your own saved capital instead.The money is slightly less accessible. 

The loss of control was strange, I will admit.

Actual loss would be more if I consider CapEx,vacancy, maintenance etc.But, my goal as a first property purchase is also not to focus on cashflow, but instead direct my rent payments to a mortgage while getting back any extra profits from appreciation and equity built from house hacking.In San Diego, If I house hack a condo, with a very low down-payment, I see that I'd have to spend 1000$ more than I would, while renting. 

So not much of loss on their part unless the lease has 11 months left.I am interested to see what others have to say.

We have consultants here that determine feasibility and then help you navigate the local agencies to complete your project.

I've only really been looking on the Missouri side due to lower property taxes, but I want to explore my options into some of the areas in Kansas if it's feasible as well!

You may be able to offset the taxes losses on the new property.

Did you have to prove loss of income for this?