There's no free lunch, but becoming skilled at evaluating and purchasing notes or evaluating and investing in credit funds can be a great way to drive passive income.

If you’re going conventional on a second home, you might want to consider putting even more down and make sure that your debt to income ratio is <41%, and credit at or above 780, ideally, as the GSE’s just made changes to the Loan Level Pricing Adjustment (LLPA) just got even more expensive effective 05.01.2023 but most lenders will either incorporate this into their pricing or will then. 

I'd like to continue house hacking, but because I'm a real estate agent on 1099, I need a solid plan to generate more income to help with qualification.

If the money were sitting in the bank, you'd make double the income without tenant headaches. 

You have an unrecorded operating agreement giving you 99.9% of the income, assets, losses,etc.However, this is probably overkill.   

ADUs and their income potential are a hot trend right now in real estate investing and as usual, the conventional lenders (FHA etc) are going to be slower to adapt

We consider the tenant as a whole- Income, rental history, credit score, ect.

Also factor in the stress of doing a rehab / finding a deal as well as the stable income (as long as you know you have good tenants right now). 

Places where home prices are going up fast or where there are always people looking to rent and the income is good are often best.

I am good for a credit check and can provide the lease proving $1250/m income.