Currently, my wife and I own a house that we purchased for $346,000 (4 beds, 3.5 baths) 7 years ago in California, which is now worth $606,000.

We could sit here and debate recession vs. soft landing all day, and please, go ahead and leave your opinion in the comments.

Mortgage stays in seller's name but is paid by the buyer through a promissory note (aka contract)Mortgage Balance: $102,000 Interest Rate: 4% PITI: $531/monthSELLER FINANCE PORTION: Seller Finance: $300/month to seller for 53 months (4.4 years) = $16,000 Total House Payment: $831/month (PITI + Seller Finance)NOTE about CLOSING and seller: Seller would like to remain in the house until November 12th, 2024.

I am in the process of buying a $170K house.

If they violate the terms again, demand they leave.

Townhomes are a viable option, as sing family houses in the best areas can easily get in the mid 400s and up real quick.I focus on North Raleigh, Brier Creek, Bethesda (durham county) to name a few spots.

I was going to stay a couple nights with my family there over fall break and the nightly rates seem really crazy, between $300 and $900 for a typical rental house.

This would significantly help my ability to afford the market from a house hack standpoint, but I want to understand what those tax advantages are renting out my basement as a business rental.

Happy house hunting. 

You can do a house hack, where you live in one of the units and rent out the others.