Talking to your real estate tax person and an asset protection attorney and then making your decisions is a reasonable way to go about this task.

The most common benefits a landlord can get from an arbitrage agreement are: reduced vacancy expense, decreased maintenance costs (most arbitragers agree to fix any damage done by guests), increased rent (most pay a premium), reduced number of hours managing the property (aka it's more passive)Some less common benefits, but still worth mentioning: Using the property to host their own guests at a lower rate during the "vacation season", Revenue sharing, arbitrage managing landscaping, and other management tasks. 

We needed a larger home for our family, that would be functional for multi-generational living with our kids and our parents.This is our forever home family compound, so we have no intention to sell and hope to continue improving and creating new streams of income from the property.How did you find this deal and how did you negotiate it?

We need a larger home for our family, that would be functional for multi-generational living with our kids and our parents living with us.

Feel free to inquire about their staff qualifications if it's a larger organization.2.

They also do a lot of data entry and admin tasks.  

As a realtor I have seen a number of properties, especially in the PCB area, that come with larger lots that are zoned for more that one building.

I'm a mortgage broker for DSCR loans, so maybe I'm biased, but I hate when the market blesses us with a 200 bps rate decrease in 6 months and folks want a larger blessing.Keep in mind, just 12 months, 8% was the average DSCR rate.

Particularly on larger balance CRE (Commercial Real Estate) this rate improvements can lead to a dramatic increase in activity and investability. 

A bigger risk would warrant a larger Down payment.