If not, what are your alternatives?

I’m looking into alternative methods to house having and MFH run for $700k+ out here.At the moment, I live in a detached garage converted into a 600sf 1bd/1bth.Since the 700k price point for a duplex with max 3bd/2bth unit to rent it out of question for me, I was thinking of the possibility of picking up a smaller house with the possibility of converting a garage or building a separate addition that my wife and I would then be able to live in while renting the main house.I know CA is becoming very favorable towards ADU’s now a days and was wondering on if this could qualify as a primary residence for myself as well as me be able to use potential rental income for me to be able to qualify for a loan.Still new to BP and REI, I couldn’t find a google answer on this, so any help would be appreciated.Thanks!

From experience with human beings, we always scout at least three other alternatives who can jump in and take over at any given time.

I just read $4.50 foot to install copalum in swiches and outlets...but there are little purple boxes that are alternative type of pigtailing. 1970‘s track house is a good first rehab...its a modern house.

Perhaps as an alternative you partner with your flipper friend where you contribute the cash and get a split of the profits in return. 

@ Garrett Foster   There are few alternative commercial lenders that will allow you to use a seller carry back.   

I have been educating myself on wholesaling recently as alternate route to create revenue to further my goals.

So I had to find alternative lenders. 

With regard to purchasing rental properties in a different state site-unseen, there are alternative methods in doing so. 

Your expectations are mostly correct... you're being quoted a portfolio HML-alternative rate that'll go to 80% LTV.