If you are able to buy a single family home, you can rent by the room long-term, or if it has separate living space (basement, mother-in-law sweet, etc.) you can Air Bnb, and likely cover your mortgage and potentially make money while living there, especially in a hot market like Austin.

@Jonathan Bombaci all the tenants are planning on going their separate ways.

Business side has 4 parking spaces separate from the home’s 2 parking spots with room for storage.If the goal is to tear it all down and create a multi family 4plex in its place, what are my first steps to doing a project like this?  

You might run into adequate HVAC capacity and needing to run additional ductwork (then determining a pro-rata billing set up perhaps) or even an additional unit with separate water meter just the same. 

It is not your responsibility to return deposits separately unless spelled out in the lease to do so

I would do 2 separate agreements.  1 for the purchase and repairs of the property. 

A lawyer provided us with advice to create a separate LLC for each property.Question to the Bigger Pockets community:  Is that what most folks are doing? 

You can take Title into one LLC, or use separate. 

A lawyer provided us with advice to create a separate LLC for each property.Question to the Bigger Pockets community: Is that what most folks are doing?

Thanks all,It is very helpful to know which costs I have to separate out when I file taxes.