The other option, buying a single family that's overdue for upgrades, and slowly chip away at things to add some equity.

I went to Chip Hills.

But I think it is incorrect to base a decision on the idea of "tech" workers migrating of of the BA and the Bay Area only being a 1 industry town.There was a string of posts on this topic last year, but I feel it is important to educate our fellow BP'ers that the term "tech workers" is not a single class of employees but a very WIDE catch all phrase that encompasses everything from bio-tech to chip design to aerospace etc, etc, etc. 

Specifically looking at the Ferndale, Oak Park, Hazel Park, Southfield, and Madison Heights areas.

That would be unrealistic in my opinion).You may have a better shot in Southwest Philly (19142), West Philly (19131), some of Germantown (19144), or even West Oak Lane (19138), just to name a fewBest of luck to you!

I assume they ask for proof of rents ie rent receipts.Can I chip away at this requirement now by renting some space in my current place, say a room?

Having the numbers are the best bargaining chip.

I have seen were chips have been made on corner beads and someone tried to repair it and it seems like the drywall mud they mixed might have caused the oxidation.

Does anyone have a good real estate agent in the Westworth Village/River Oaks area? 

 + As a final poker chip, I might offer them a small % of gains from sale on the property as you will inevitably sell the real estate LLC (without the operations) to an assisted living investor for much more than you would have as a single family.This setup will separate you from the decently high liability of operating an assisted living facility as you are not an owner of the operations company.