I was thinking this might work on my property in Redding and can be adapted to a shared housing project for seniors (though I'd want rooms large enough for bed, bath and seating area)  It's my understanding that it is considered a SFR with seperated bedrooms as far as planning.

@Drew Sygit Trying to understand paying bank this loan rate is good idea or payoff principal early is a good idea.

But anyone who considers themselves a GC for hire, it's a bit odd they wouldn't first get their ducks in a row, it's quite easy.If it was me, I wouldn't worry about him not being licensed/insured, I would just make sure to vet him.

I understand they have a little bit higher interest rate, but what are the risks of DSCR loans?

I don't even think she knew what I was talking about and she had a heavy accent and didn't seem to understand me very well.  

Quote from @Matthew Paul: I understand how businesses work.

A broker can connect you with specialized lenders who understand your situation and offer competitive terms.2.

I can walk you through one of our recent Equity Splits so that you can understand the process. 

The real skill is understanding the variability and risk in each number which is not always numerical or scientific.

I recommend you call a local agent or broker to give you a better lay of the land so you understand the challenges/opportunities in this area.