Outcome currently is a rented basement for $1,350 a month + $130 in utilities while I live in the upstairs unit.

Where did you take into account the landlord paid utilities?

Coos Bay - The main delay with application in this area is whether the property is on public utilities or has a septic system and private or public water source.

Several have mentioned utilizing low down payment second home loans for qualifying.

Personally, I provide my clients with trusted companies in each of these sectors that we've been working with for years, and even utilize personally. 

I plan to put a $600 utility cap in the lease.

Are there any strategies here to utilize bank funds for our project?

Another option would be to utilize a property manager to manage everything and keep a buffer between you and the tenants.

@Shmou N.ShmouYou can collect Rent and all other fees; Utilities, parking, or any other fee needed.We don't currently have a notification of the deposit but I will add it to our develoemt roadmap and you will see it in an update.

After watching some of the podcasts and reading posts I am set on starting my real estate journey utilizing the house hacking strategy.