They will cash flow like crazy.

Co-living will be necessary due to housing cost. 

Hi Mary, It will depend on what kind of lender is doing the DSCR loan.

If they do, your best bet is a local community bank that funds these types of properties.Another option is a private lender but that money will be pretty expensive, as mentioned 10%  + 

FYI: because APR includes closing costs, the above will be a little off.

Or will the lender do that?

You also will want to stick to on market properties at first because the purchase process and evaluation process (namely title and inspections) will be more defined.

Upon verification, the Landlord will pay you $2,000 cash, and both parties will sign a receipt acknowledging that your account has been settled.

Not one single strategy will work for every property. 

Keep in mind you will probably have a deductable to pay first.