theres is a combined strategy for subject to and seller financial?

But the city has increased their effort to shut down unpermitted STRs by a lot.

I conservatively estimate illegal immigrants are occupying at least 3% of rentals in our country, twice as much as vacation rentals.Supply is low, which increases demand.

It just increases your exposure.Not sure how you do NOT have an insurance policy and still have a mortgage...We've got plenty of threads, pretty much daily, about the LLC question...  

This increases the property's value and can allow you to charge higher rent, improving your cash flow and the property's appraisal value for refinancing.Rent: Lease out the newly acquired and rehabbed properties, preferably to reliable tenants similar to the family you currently have in your townhouse.

Granted, that matters depending on the investor's strategy and goals.Meanwhile, all this does is increase the work for the supporting professionals with more filings, paperwork, the potentially the 1031's, all for some tax savings in this year. 

When I was buying, concerns were the quality of new construction, the timeline fluctuations and cost increases.

At the same time, by the time the market increases in price I will be paying 1K per month towards the mortgage to cover what the rent wont cover, so its 12K per year of loss (if I get a good tenants and nothing breaks), then who knows even if the market does go up...

Of note, housing costs [shelter] accounted for over two thirds of the monthly increase.

I've achieved my initial goals (financial freedom), so I'm now considering how I'll invest going forward.