Because of the additional income I am producing through the consulting business, I am afforded the opportunity to invest money in real estate.  

Plus, we like to make it fun so there will be 2 evening events, in addition to all the daytime sessions.

You can later transfer the property to the LLC, but be aware it might trigger due-on-sale clauses or additional costs.

Additionally, regarding the legal structure, an LLC seems to be the most suitable option for our situation.

Some carriers won't allow insured to be a trust, so in that case do it in your company name with trust as additional insured.

You will likely need to rehab for any strategy but Co-Living will be more bedroom additions which is less cost compared to kitchen and bath remodels that are more needed for furnished rentals. 

I have about $100k in capital reserves and can leverage the 2 properties for additional capital, as needed.

The only additional thing we do is send them to collections.

Sounds like a good situation from the employment perspective. 

Additionally, Fannie Mae and Freddie Mac will sometimes temporarily suspend the income cap on their HomeReady and HomePossible programs, which allow purchases with 3% down.