You can purchase a primary home with seller financing, then rent out the spare rooms to generate income.

My husband is a high income W2 earner, and meeting active criteria would put some of our tax dollars back in our pocket.

I'm a local real estate broker, investor, and manager (100+ rentals, mostly Airbnb/STR and multifamily).House hacking is a tried-and-true method and in Sacramento you can produce some meaningful income while enjoying the appreciation and tax benefits of owning real estate.

I should look at the expenses vs the income (rent collected) and not the selling price of the property. 

Use tools like AirDNA or Mashvisor to provide market data on projected rental income and occupancy rates, and make sure your lender works with appraisers familiar with short-term rentals.

Investors should keep an eye on its growing infrastructure and amenities.Huntersville: A family-friendly suburb with excellent schools and amenities, Huntersville is a solid choice for long-term appreciation.Davidson: A charming college town, Davidson offers steady appreciation and attracts higher-income tenants.Belmont: This small town near Charlotte offers more appreciation potential than cash flow, driven by its desirability and quaint atmosphere.Neighborhoods Offering Both Cash Flow & AppreciationConcord: A tricky yet rewarding market, Concord can provide both cash flow and appreciation.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

Fake income documents are easily purchased online, and inexperienced screeners often miss red flags.

To fund your next deal, explore conventional loans (15-25% down), FHA loans (3.5% down for house hacking), DSCR loans (based on rental income), or HELOC/cash-out refinance if you have equity.

Income: Verified monthly income must be at least three times the rent (minimum $4,200 combined).