The cashflow should cove ALL of the expenses for the primary (mortgage, taxes, insurance, utilities, etc) AND put money in their pocket.

By being physically present, you can gain valuable insights into the property's operations, interact with residents, and assess the team's performance.

My thinking is that by renting to a residential care facility I can effectively utilize all the space, earn above market rent, and help provide a needed service, while avoiding tenant parking jams. 

With the purchase, the rehab, the closing costs and the holding costs (hard money, taxes, insurance, utilities) our all in is around $200,000, but we have created $40,000 in equity.

We gave him an old lease that said he didn't have to pay water (we newly split the utilities in the unit) and he noticed we charged him for water and then we refunded him (although he continued to send us pics of his napkin math that says we didn't refund him enough).   

Utilizing a wrap he has a mortgage note as an asset to offset the mortgage he’s still responsible for on the property.  

Again, the BiggerPockets store has some books on this topic, or you can learn about it by watching podcasts, reading blogs, and interacting on the forum.

In Chicago you request a CHA Burden sheet and that gross number minus utility allowance will be what you get in addition to making sure bedroom size is adequate.  

Again, the BiggerPockets store has some books on this topic, or you can learn about it by watching podcasts, reading blogs, and interacting on the forum.

Unless a different one would be better that you could suggest   If you are house hacking you can utilize 3-10% down. 20%+ is great to put down but not always possible.