So I finally got beta 3 installed. two weird issues.
When holding Option to choose boot media, it has you choose "Wireless network" - but I always have wireless off and run wired.
next I ran into "not enough space" issue even though I had 80gb free (supposedly). found out it was Time Machine local copies. Went to terminal and manually deleted them.
Repeated the steps above and after about 30 min and 3-4 auto reboots. I'm on beta 3
I can't guarantee if was my wired vs wireless, but it never worked with wired connection and got it to work with wireless (while disconnecting the cable)