I am looking to purchase a property that falls under the minimum limit for DSCR but qualifies for a conventional loan. 

Refi loan from construction to owner occupied loan (preferably conventional)8.

Remaining mortgage is $171,000.Property #2 is a single family, conventional fixed rate mortgage.

Ca allows ADU and JADU but- having both an ADU and JADU disqualifies from f/f conventional financing.  

That said, it looks like you'd have to bring a huge downpayment to the table for this deal.Why not just purchase with conventional financing?

I bought it off market at a great deal with a conventional mortgage as a primary residence with the plans to rent it after the 12 month period has passed so I can legally rent it.

After that, you can do an FHA purchase with 3.5% down or conventional loans with as little as 5% down (if you live in those properties). 

House hacking with low-down payment loans, conventional loans, owner-occupied financing, seller financing, HELOC, down payment assistance, or partnering with investors can expand your portfolio.Good luck!

Explore financing options like conventional, FHA, commercial, and DSCR loans.

This clause is also very similar to that found in a conventional listing agreement.