Up to 80% LTV on a purchase is common depending on FICO and level of experience.

I've seen a few different options for calculating depreciation and am wondering how to get the most bang for my buck.Depreciation does somewhat depend on the timing, however I would be strongly against making purchasing decisions based on taxes.

You can possible structure the renovations as a holdback and have some equity cashed out as a day 1 depending on what the appraisal comes back at for the as is value and ARV. 

Those that bought in the bubble thereafter, probably not, depending on how much they are leveraged.

This would be done by leveraging private funding for down payments that will be payment free for two years but then paid out with a balloon payment plus interest on the back end via a tax excluded sale of our current rental property in two years, giving us a very large payment of tax-free income.Thoughts?

The correct answer depends on your interpretation of the question.It might be easier to understand the book answer if the question was phrased a little differently, rather than “What is your expected value for this investment?"

With any house-hack comes some sacrifices as well: factors such as location, value-add vs turnkey, size, rent to price ratio, short-term vs mid-term vs long-term renting, and your ability to jump into the next one quickly all depend on you as the buyer. 

@John WilliamsMost likely will flatten out but depends on specific locale.

I think that it would largely depend on the management contract that you have with them.

I'm in the position to apply(depending on lender DTI requirement) for conventional financing through the builder at <6% interest rate in this current market.