You can own 20 properties and still not have to claim one as a homestead, there is no Texas law requiring one to have a homestead.

Does anyone have guidance as well regarding licensing required to do this?

As where a traditional investment home can be worth a lot more money which requires a higher down payment etc. 

We have a variety of advertising options and do usually require a $10k minimum spend.

If the water bill is $100 a month, increase the price by 20% (or whatever you decide is fair) to compensate you for the time required to split and bill and to cover additional use when tenants squander the utility.

If you are going to most basic route, a rental loan will require roughly 25% down (most lenders won't go below 75k-100k loan amounts).

You don’t want to find a great deal, perhaps requiring a short timeframe to close, and have to scramble to find money.

A lot of lenders will even require that a tenant is actively in the property in order to close on the refinance. 

There are exceptions to this (like Ariel Dunes I or Calypso Towers with very specific lenders), but just be aware of the possible financing requirements when you're considering the condo route.  

Here in Philadelphia the city requires EACH of your rental units to be lead paint tested & certified every two years.