Remember, ignorance is NOT a defense in MN on real estate and housing law's, so it's VERY important to actually know them, not just what someone else says they are.  

They work well for the houses we work in 100-500k.

Also, for DSCR, they do not use the actual rental income on tenant-occupied houses.

What do you do when in house goes on vacation? 

But after working with him, I realized he was very systematic and mostly cared about closing deals without much care for the client's long term needs.Here’s an example: I had a $10K escrow with the seller—$5K due upfront and $5K after the inspection.

So if you buy a 5 bedroom house and rent the spare 4 bedrooms = you can still sell tax-free under the 121 (you just pay back depreciation) If you buy a duplex and rent 1/2 and live in 1/2.

And, we'll probably want to buy another house before then. 

Consider starting small with house hacking a duplex or triplex, and use tools like the BiggerPockets Rental Property Calculator to analyze deals.Good luck!

I am purchasing a house and it is going to be occupied by tenants that do not have a lease and are paying way below market rent.

Sure, all channels can work, even seller financing or foreclosures, but in my experience, a well-connected agent can uncover hidden gems that often outperform the trickier avenues.Since the post is still fresh, I’m curious.. do you foresee other potential add ons that might elevate the returns even further, like corporate housing partnerships or short-term seasonal leases?