The former involves lower monthly payments but requires a lump sum at the end, while the latter has predictable monthly payments but might be higher.

Taxes in these zip codes might be higher but they're great long term holds with steady appreciation.

And what are the future ramifications when withdrawing from the 401k since part of it should not be taxed?

But considering all the expenses (PM, leasing fees, cap reserve, maintenance, taxes, etc), it has been showing as negative cash flow. 

So many are misinformed on what S8 does and how it does it.It's our tax dollars, so S8 is NOT looking to place low-income tenants (S8) in Class A properties.

Since this is my first property purchase ever, I wonder how escrow accounts, etc for property taxes would work.  

You may not include income earned that is not on a tax return, an administrator or PHA may consider additional income in that household, a teenager may mow lawns or receive child support that may influence funds available to that household. 

After they pay rent and taxes they have about $1,500 or $388 a week for everything else.

Being able to 1031 it into something larger would pay great dividends down the road, not to mention starting a fresh a depreciation cycle on your tax cycle. 

If you are interested in moving your entire portfolio, would you peel off (tax purposes) or dump everything?