Friendship and business don’t always mix well, so it’s critical to use a solid lease and treat this as a business arrangement.

Due to item 1, adding an ADU can require years to start achieving any return (once the accumulated cash flow recovers the initial negative position).4) Adding an ADU is a slow process.

You can get started with rent to own/lease option or another creative strategy like buying subject to. 

I weigh more on making 3x rent and having great rental history of on time payments with no evictions, no lease violations or violent criminal history.

Unless you are itemizing your tax return, the interest on the primary is not tax deductible.

As I approach the end of my current lease, I'm eager to embark on a journey of house hacking with multifamily properties.

Your best/safest bet would be a regular lease combined with an option to purchase.

Most institutional DSCR lenders prefer one lease per property/unit, however, I've seen programs allowing rent by room strategies.

You'll likely pull a few hundred extra dollars and will will get shorter leases that could work better for your traveling.

.- If they say $0-$50, you'll have to get rid of them at end of current lease.- If they are more reasonable you may want to accept if for now, but let them know you'd be doing regular increases to get the rent more inline with market rent.Too many newbies here will tell you to get market rent or get rid of the tenant.