Any help/advice on what kind of financing to go for (FHA/conventional/first time home buyer benefits) and any insight on how best to do this with a partner would be greatly appreciated.

They do have a monthly fee that tenants now pay to have tenant insurance and a couple other benefits.

I have to slow down and really analyze the cost vs. benefit before jumping in.My personal life is the same.

But in a rooming house, they pay a much lower rent cost, and get the benefit of a professional cleaning crew doing common areas, kitchens and bathrooms, free high-speed Wi-Fi for their streaming devices, etc.

There are many other benefits from these Communities as well - you will find like-minded people who are interested in building wealth through real estate the same way you are. 

For example:- "1 time $129 non-refundable set up fee paid at lease signing"- "non-refundable pet fee of $200-500 per animal applies to all pets & must be paid prior to or when you pay your first month rent"- "$30/month required resident benefit package" Just my two cents.

Once you’ve built enough equity, refinance and pull cash out to acquire more properties.Leverage Knowledge: Learn about tax benefits, depreciation, and using LLCs to protect your assets as you grow your portfolio.If I were your age, I would’ve networked more with real estate investors early on and diversified faster.

Most people enter partnerships because of FEAR, or want of COMPANIONSHIP not any real benefit.  

You could pull out cash tax-free and still benefit from depreciation and other deductions on the rental side, which could reduce your tax liability.Quick Tax Comparison:Selling:Capital Gain: $160,000Tax Due: ~$32,000 (at 20%)Net After Tax: ~$128,000Refinancing:Loan Amount: ~$263,500 (at 62% LTV)Tax Impact: None on the cash-outRental Deductions: Continue benefiting from depreciation and mortgage interest deductions.Refinancing offers liquidity without the immediate tax hit and lets you maintain rental income, making it potentially more advantageous.All of these are rough numbers of course, but just some different ways to think about it!

Once you transition one of the homes into a full time rental you will reap that benefit by filing a schedule E at the end of the year.There are a few loopholes to consider like calling one home a "Vacation/Second home" which allows you to pull out 80% LTV with a better rate.