I can tell you the biggest thing is as long as you run your numbers tight and have good contractors you can be pretty successful at it.

My goal is to work with those existing property owners to remove them entirely from the day-to-day operations of their STR, making their property a passive revenue source. 

Probably the biggest key is the layout and how well it lends itself to being divided.  

On of the biggest scams/ money maker in the country , 

Also, $50k revenue on a half million purchase is nothing to get excited about

We do have a debt fund but we don’t loan to our own properties—that was created because I just had an exit from a bridge lending company I started 7 years ago and I like that slice of the capital stack right now.These groups touting all these other investments you mentioned aren’t just feeding their egos—some of them are struggling to keep the lights on so they are looking for revenue.  

The biggest mistake is not truly understanding the exit strategy.

I think screening will be your best friend if you go this route to prevent the most headaches. 2) I'd say the biggest problem renting by room is potentially laws about unrelated persons living in same household.

Currently, funding seems to be our biggest hurdle in acquiring real estate. 

Your clients will be coming to you for your expertise on what is likely their biggest asset and investment of their lives and keeping yourself up to date on the news and learning from others experiences is invaluable!