I found a property that cash flows around $100-$150 in Bakersfield, depending on the interest rate, but I am wondering if it is a good idea to take this and run with it as a first rental, in order to be able to cash out refi in the future to be able to put a bigger down payment on a mult-family property.

@John Dawson the best thing I can recommend is 1.) find a mentor you get a long with who is willing to show you the ropes and just be willing to grind like your life depends on it.  1-3 years of that will set you straight, so long as you're putting your clients first, and doing a good job.  

@Oli Cimet $500,000 in Oakland will put you in the heart of our Ghetto!!!

And guess who is getting the call to put in that new shinny unit?

Completing some renovations does not always make sense economically (price you put in not worth the price you get out). 

The less you put down, the harder it is to hit a 1.00+ ratio.

Bought for $95k, putting 120-130k into rehab with labor/materials.

But, I am guessing you need something to pay the bills today instead of in 10 years...simply put, REPS is just the ability to take passive losses incurred that year onto your main 1040 return to offset your usual wages/salary. 

Even if I can't put "building at cost" in the contract, I could just put the building cost estimate to include no profits for myself because I will have added them to the land price.

You don't want to put yourself in a super tight spot where you don't have the ability to pay for a large expense (which are inevitable)You are super close!!