Typically 75% of rental income can be applied towards your DTI for qualification. 

Estimated costs range from $500–$1,000 annually, depending on the complexity of their LLC and rental activity.For Partner 2 ($148K joint income, W-2, 1099 income, 1 rental, 2 kids), a CPA is strongly recommended.

It seems like you have some very solid goals of multiple income streams, and a well calibrated risk tolerance. 

I  Income:  The amount of property you can buy will be dependent on your Debt to Income ratio.  

I have one in mind at Rent to Retirement. 

I am working toward passive income to live off of.

But, what’s the best strategy for someone who wants to own property, but just as an “aside”; to diversify their portfolio, hedge against inflation, or build a retirement nest egg?

I'm looking to having my mortgages paid off as I plan on early retirement and the rentals are part of my retirement income.  

Vanessa, If you choose the seller financed route, you could potentially continue investing under the bank's stringent debt-to-income radar, so to speak.

@Nichole StohlerI find using a SDIRA to be a great tool for passive investments and growing your retirement with less stress than the stock market roller coaster.