I also think our country has set standard of living and quality of life expectations so high that we have dismissed the idea of a starter home when in fact there are still ugly, less expensive properties out there if someone can tolerate living without quartz counter tops and central air condition....gasp,  I know. 

The personal side is handled like a primary residence, meaning your share of mortgage interest and property taxes can only be deducted if you itemize on Schedule A, and if you take the standard deduction, you likely won’t see a benefit.

I have a few clients that are inadvertently pursuing this strategy - but it is more about business decisions and swapping to larger properties.To do so purely for tax purposes, especially on a one year turn around schedule, assuming the standard 4-6% commissions, legal fees, real estate transfer taxes, etc - nevermind the headache of finding a suitable replacement property in the correct time frame, exchange fees, more cost seg fees, etc - this gets to be fairly expensive. 

ATGIf there is a management firm, it would be difficult for taxpayer to meet this standard.

Oh, we are still so much lower than the standard 12 & 2 the borrowers could get locally.

I currently manage properties throughout Los Angeles County, and occasionally come across properties that aren’t ideal for long-term standard rentals.

I used an experienced realtor and negotiated it the standard way.

The programs I know allowing for ~60-65% on a DSCR would have a higher interest rate as well (probably around 9.5%) with the standard 3- or 5-year prepayment penalty.It would heavily depend on what you would like to do and how you would like to do it.

You have the standard property policy in play (homeowners / commercial property), which usually do "not" provide coverage for a busted pipe out in your yard that causes "no" damage to your home/rental building. 

My solution has been to simply overpay them and have high standards.