We've rented out some of the rooms to friends for several months which has allowed for some help with the mortgage.

If a cash out refinance, many lenders will allow the cash out to satisfy the reserves requirement.DSCR lenders generally let you vest either individually or as an LLC.

It's sad bc she is nice and I like her as a friend, but it is not working out at all!   

With the help of an investor-friendly agent How did you finance this deal?

For further reassurance, you could take their lease to a real estate lawyer and ask them to review it.Lastly, If you have any friends in the property management space, maybe you could buy their leases as well. 

Hey everyone,I’ve been diving into San Antonio’s STR regulations to get a clearer picture of how friendly the market is for short-term rentals.

Ideally, I’m looking for areas with a mix of:High occupancy rates for STRs (Airbnb or VRBO),Solid potential for appreciation over the long term,Investor-friendly regulations on short-term rentals.If anyone has experience with markets that fit these criteria or knows areas where STR is thriving with good investor laws, I’d love to hear your thoughts.

find a friendly agent and talk to them.start with a house hack if you can.

Those are generally at least 1 of the following:1) Where they currently live2) Where they grew up3) Where they currently have family/friends living (if not included in #1 or #2)4) And as a last resort, an area where they like to travel/vacation frequently

It depends on your goals but I and many of my friends and clients started with house hacking and then used the equity to buy out of state.