They instead use conventional conforming loans with low down payments meant for primary residences to purchase properties ready to live in!

I have really good rates with USAA on my primary and citizens is all I could get on my rental.

and then using a HELOC on my primary and some cash for the JADU/ADU projects. 

Hi everyone,I am looking to tap into some equity that we have in an investment property we own in California.It used to be our primary but is now a rental.

•You can show financial hardship requiring a new primary residence.

Purchase price: $178,000 Cash invested: $10,000 primary home own use has an Airbnb/ short term rental 5 months out the year/sometime this year will try BRRRR

You can purchase a primary home with seller financing, then rent out the spare rooms to generate income.

i think this is a decision only you can make. im in a similar boat (house hacking my primary) and considering renting the whole thing out to get a solo home for myself. certainly a lot of appeal in that, given how much work goes into the house hack. but whether or not the numbers on cash flow align is up to you. personally i dont think $150 (seems like about 12%?)

Back to my primary point--do your diligence and develop your own sense of conviction on the purpose of this venture. 

In terms of your investment, you stated that the primary reason is for tax benefits.