Mostly worried that even if I find a place and the money, that I'll be making a big financial mistake and have little left to cover unexpected costs.

@Jerry ZhangYou can also put a lien on one of your assets for a short period of time.

Does this mean they're technically violating lending rules/regulations by not informing the lender that the property will be sourced as a rent-by-the-room asset? 

The best down to nail down the value is to review the financials, look at comps, and get an appraisal.

We do tell clients about the shift in value over time, as the 1245 assets really do depreciate and the 1250 assets really do appreciate.

Think of them as a firewall protecting your other assets if one has a loss.

Depending on the tenant and what their financial situation is, you might also be better off giving them a 60 day notice and just telling them that you're planning to move into the property and do some updating. 30 days is usually too short for someone to have to move on, 60 days is plenty of notice for them to be able to pack and find another place.

What is your current financial capabilities? 

Do you understand that asset class and market?

It is definitely an amazing way to reach financial independence especially if you stay consistent with it!