I've been in a co-living mastermind for a year, but I'm curious how you set your business up.

Buyers usually want to purchase on today’s value while sellers often want to use future potential of the property (“current rents are below market” or “room to build an additional property”, etc) to increase the purchase price or likelihood of a sale.

Additionally, confirm the transfer won’t lead to property reassessment, which could increase taxes.

Not only does it have excellent potential as a house hack, but it also offers significant upside for a live-in flip.

Are there any additional considerations?

Given that you're not married, that adds some additional complexity.  

.- The townhouse you're moving into is currently a rental, but you plan to live there two years for the 121 exclusion.

Living in one unit and renting out the others allows you to deduct 75% of expenses like mortgage interest, property taxes, insurance, and shared repairs as rental expenses, while the remaining 25% applies to personal use.

I know this is a very old thread but if anyone comes across it I wanted to add some additional thoughts that might be helpful.

Also demand proof of insurance from tenant as yo insurance and add you as additional insured.