Note that active income isn't the same thing as non-passive income, it's lower bar that just requires that it's a business activity that isn't just entirely passive. 

@Heather Bailey When house hacking with a separate rental unit, ensure proper insurance by obtaining landlord or short-term rental coverage tailored for Airbnb activities, in addition to your primary residence policy.

However, my under writing due to the recent rate hikes shows large cash negative after a high LTV refi to extract the equity so I am not currently actively pursuing BRRRRS and I find this is true for many of the local investors that were doing brrrrs a few years ago.  

ARV 900Total reno was 170k Appraisal $399.00 Shut off valves $95.75 paint $300.18 Commeercial enzyme cleaner $72.09 Water activation fee $51.38 shut off valves $38.52 Kilz restoration primer $275.66 Kilz restoration primer $150.33 Shower tile-Master.

By the way, from what i read in the street journal, the rental market in many regions is holding strong despite economic shifts, so that could play in your favor as you move forward.What’s your gut feeling on the timeline for scaling up.. are you looking to ramp up quickly, or do you prefer a more measured approach? 

Whether you’re experienced or just starting out, I’d love to network, share insights, and collaborate.If you’re active in Philly or the surrounding counties, let’s connect!

I knew some of the Peer Street management.  

It can be anything from the guy down the street using his 401(k) to lend or it can be a well established business that has a lot of funds to deal with.

@Marcus Auerbach How many hours of active management per week would you say it realistically takes to manage 50 units yourself?

Based on a quick answer from Perplexity it seems like there would be no issue with you buying the home and collecting passive income, but you may not be allowed to manage it yourself since that is considered active work.