One alternative strategy we have used to get the pricing down is to use several different insurance carriers for the different lines of coverage. 

The conventional financing would also limit the capital available for rehab projects on the properties.While not a “nubie” to real estate, I am one when it comes to alternative forms of funding real estate projects.

Alternatively, there is the hard money lender in the event my private money friends don’t.  

Alternately, if I acquire this as a sub2, I was thinking of exiting as a Lease-option OR researching and analyzing the AirBnB approach...As you can see, the mortgage balance and Heloc balance in the picture make this tight to run as a flip, along with an estimated rehab cost of about $40k.Rental rates vary, as I'm seeing on propstream that rents can go for about $1,855.

Potentially higher returns (though maybe not considering house hacking as an alternative)Cons of buying out of state:All the difficulties of purchasing / managing an investment property at a distance--especially as a first time investorHaving property management fees (and maybe turnkey costs) eat away at the returnMy main question is: Should I even consider buying a duplex in LA with our (potentially) short time horizon?

I've read up on VTB, vendor take back mortgage, but am unsure if there is another alternative to offer to a potential seller.Thanks!

You have to be joking.. a cap rate is calculated as the ratio between the net operating income produced by an asset and the original capital cost or alternatively its current market value.

We do not know if you are looking at Agency Multifamily financing or Small balance Alternative financing etc.

If you have changed an alternator before then you can probably handle changing a circulator pump. 

I've been researching multiple locales (Springfield IL, Milwaukee WI, Indianapolis GA are the other alternatives) and settled on Cleveland, OH, for my first rental property purchase.I have the capital to make 3-4 purchases for the next year.