As far as property taxes, you won’t see a significant difference until you get out of Milwaukee County. West Allis is a pretty big city with multiple neighborhoods and demographics, I wouldn’t consider it all the same asset class (C in your example). What is your goal? You mentioned house-hacking and paying cash. That seems very doable. If you were going to pay cash though, why wouldn’t you just buy a rental outright. IMO people house hack as a way to get favorable financing (3.5-5% down) leaving them with very little invested. In return, you’re (hopefully) paying yourself the rent of your unit, keeping it maintained and building cash reserves to do it all over again.
We all have been raised with some ideas about money, some good, others not so. Getting some of these ideas that have been in your world as long as you live corrected can take a lot of time and effort. Thats why there are entire forum catergories about the topic of investor mindset.
Investing should not be a matter of believes. It serves you better to apply cold hard logic and math. Most likely your primary residence will carry a mortgage with the lowest interest rate in your portfolio. Your rental properties will require usually half a point higher rates. You want your primary residence at 80% LTV (loan to value - meaning 20% down) to avoid PMI, which is an insurance premium you have to pay for any loan with a low down payment. PMI is an unnecessary expense. If you have additional cash pay down your rental properties first, because they have highter interest rates. It saves you more to pay those down first.
Here is the other thing to think about. If you have 100k in cash and you have the choice between paying down your mortage of let's say 4% or investing or buying another rental property that makes 12% logic dictates to buy another rental property. Your 100K can safe you $4000 a year by paying down a mortgage or make you $12,000 by buying another investment. So you can take the 12k and pay yourself 4k and still have 8 left.