The extra income is not worth the disruption to our neighbors.Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

A 4-plex would be ideal and you could play around with doing 1 long-term, 1 mid-term, and 1 short-term, plus you, if it works on your area to upgrade your income.

I mostly work in low to moderate income areas anyway so it checks all those other boxes.

Median household income can be an indication of the area.It's not feasible to manage D-class remotely or with 3rd party management and make a profit.

DSCR loans let you qualify based on the rental income of the property rather than traditional income verification.

Did a 125k upgrade to unit, but now need to make income.  

Interested in getting some extra income with converting the extra space in the basement into a rentable unit.Basements in a one-family home can be lawfully rented only if the following conditions are met:Compliance with the Housing Maintenance Code for minimum room size.There is a minimum ceiling height of 7 ft.The walls, as high as ground level, must be damp- and water-proofed if HPD determines that subsoil conditions on the lot require it.The basement is occupied by one family and does not include boarders.Every room must have at least one window.The bottom of any yard or other required open space cannot be higher than six inches below the window sill of any required window in the room.

By accelerating your depreciation schedules, you reduce your taxable income which in turn increases your operating cash flow.

I moved to Reno Tahoe, NV where you can be 3 hours from the beach and there are low property taxes, no state income tax and limited new construction. 

Best thing to do is avoid the higher DTI debt to income, claim one as investment and use the rents to offset the new purchase.