The problems with the project mostly stemmed from the crawl space work, which required shoring, replacing structural members, leveling floors and insulation. 

And yep, I was made aware a couple of years ago of that 12 person max and/or I think 4,000 sq ft limitation (or some size anyway) that requires a sprinkler system for all new construction.I don't think they're that wrong for implementing the requirement. 

Even a DSCR loan requires a 1.25x DSCR ratio to pull your money out.

But, it's a unique strategy that requires more knowledge than expected.

It requires skills to maximize returns.  

To do this, you would use the underwriting and loan requirements provided by your loan purchaser, which may or may not align with your current criteria.

It’s not uncommon to rent by the room to individuals, but it requires some careful management.

It's easy to obtain, costs very little, and doesn't require extra, on-going effort to maintain.

For tax purposes, it’s about whether you pass the 750-hour rule, the 50% rule, and meet the material participation requirements.

Fully understand what they can do to you and what is required.