I've lived in the Knoxville area for about a year and I'm trying to find a good way to break into the local real estate market.

@Kevin MartinSomeone once told me tax deed auctions are like cutting down a tree.. 95% sharpening the axe and 5% cutting....means do your recon...check public records and property appraiser...avoid ones with 3 or more listed owners in property appraiser.40% get redeemed.Dont trust Google street view...do a driveby..break inside if needed...check them out!!!

Could be index fund as you say (although the stock market is pretty frothy right now) or out of state real estate so you can get better returns and take advantage of all of the tax breaks RE has to offer. 

My wife intends to take a regular W2 job.

I have several attorneys I work with regularly here in the Chicago area who would give you a quick email answer for free.

I am from Ontario(canada) but am looking to break into some US markets for some BRRRR multi-families.

It would be different than your regular homeowner's policy, for the property that is your residence.

How do I find out an ARV or market value, because the regular channels for comps are not going to accommodate this type of structure.

For instance, my credit score for obtaining mortgages are 760, but my "regular" credit score that is commonly used for credit cards etc is only 730.

I've had tenants break dishwashers, stoves, faucets ( how- I still don't know).