I think the two things I am still confused about (1) the best avenue for building capital and (2) how to find a good area for my selected avenue. (1) I have some limited savings and may be able to buy a house if its cheaper in cash.

@Kelly Holly unfortunately i do not have a lot of experience getting stuff fron HOAs. my only suggestion is to read your bylaws very well, and if you can find anything specific that might point to their responsibility, quote it in a strongly worded letter. if necessary have a friend draft it or pay a lawyer to write it. if they still refuse you may have to pay an attorney to fight it for you, at which point it may be cheaper to fix yourself.

.- purchase land through tax sales, find construction company to build and rehab houses.Here is an example of basic tax liability for person A if he does not participate in creative investment activities using 2016 tax rate:Salary                                                         70,000401K contribution                                     (18,000)Roth IRA                                                            -Property tax for Primary Property               (9,000)Bootcamp as miscellaneous deduction      (5,500)Taxable Income                                          37,500Tax Liability (932.5+15% over 932.5)       6,417.63How would you add or modify this sample strategy to help person A to lower his tax liability and turn it into investment fund?

My plan was to take my sale proceeds and buy a number of cheaper properties in less competitive markets, but if I could keep the home in MN and make competitive returns it would be a no-brainer to keep it, assuming it doesn't become another full-time job.My hope is to gain some perspective as to whether this is a good idea or not - and rather than a "yes" or "no", I'd love to hear your perspectives on how to model it out for myself.

Depends on what this person actually does,, our turns were 24 hour turns out at noon in at noon next day.. we gave caretakers like 135.00 for 1 br,, 150 for 2br and studio was 100. we had painter separate, carpet cleaner separate, and maintenance guy was separate.. we had 120 unit complex and my caretakers were anxious to get any turn they could.. so between 2 or 3 of them we could do 10 to 12 turns a month.. we supplied all the cleaning supplies. they did stoves, refrigerators, all windows, tubs, sinks, all light fixtures, and washed hard surface floors in kit , bath. 3 to 4 days is WOW  cheaper to hire merry maids.. and get it done quicker..Get some additonal people lined up to help and set the pace.. and rate.. if this person can't get it done faster then you need someone else to do turns and maybe this guy can do something else more productive.. 

(2)  If so, is the interest paid by the company a deductible expense to the company reported on Line 16 of Schedule C and is the interest income received by the owner taxable interest reported on Line 8(a) of Form 1040?

Rather, it is a compliance tool that helps the IRS in determining an individuals taxable income.

Wholesaling Inc and TTP have negotiated discounts with list source, skip tracers, and a mailhouse that make it significantly cheaper.

Depreciation decreases your taxable income, without reducing your mortgage qualifying income. 

It's also still cheaper than they could rent apartments for in the area by half.Seems like a lot of people in this post have experience and examples of crazy markets.