My advise is to start by familiarizing yourself with the different parts of town and don't purchase a home simply based on the numbers (especially if they come from a seller and not your own research).  

I am familiar with the 50% rule of thumb for estimating expenses, but am trying to analyze a duplex in rural northern Illinois and am trying to estimate expenses.  

While I am focusing on getting more familiar with the techniques and terms, there seems to me to be some realistic expectations you must have based on your home market, and the prices in that area.This leaves me with 3 options as I see it.1)   Continue to save more initial capital to meet the realistic barrier to entry- and stick in my home market.2) Entertain starting in different markets where the barrier to entry would vary significantly and therefore potentially require less initial capital.3) Attempt to creatively finance and stick in my home market.I guess what I am wondering is if anyone has any experience going the route of option 2?

Is anyone familiar with this website?

Thanks @Ethan Atkinson, I'm familiar with USDA loans but was unaware that you can use it for new construction.

Seems to be lot of properties for sale, but I'm not too familiar with the neighborhood and I'm a little concerned about how outdated the properties look?

I have consulted with one local CPA and plan to look  around town for one more familiar with DST's and 1031 exchanges.  

Hi, is anyone familiar with Matteson Illinois real estate..the numbers seem to be really good on single and multi unit properties?

Freddie Mac also has a conventional loan program with 3% down, but I'm not very familiar with some of the finer details of that loan.

Definitely have a Real Estate Attorney on your side that is familiar with the process.