There is also a vacant room in the house that will likely be filled within the next month.The main question is, for those who have been successful in entering into this type of agreement, how could we structure the agreement as such that it would improve his debt-to-income?

I know it's tough and I have clients all the time who say "He doesn't deserve to do business with me" but in the grand scheme when it closes the money matters.Good luck in whatever you decide!

my mother is renting out a room in her home.

I have no room to force appreciation to refi out of that BRRRR.    

You might want to use this Forum to get advice from others that have dine this. 

The goal of this purchase was to significantly lower my out of pocket expenses, which it has.I have one tenant moving out and when I advertised the available room to employees at the govt agency I work for, I had 6 inquires on day 1.I have no doubt this pool of available renters will be available for quite some time.So theorectically, I could rent all four bedrooms out to individuals and cash flow on the property.

I met him in New Jersey and he bought a foreclosure quadplex near New York City through Fannie Mae firstlook or other home owner occupant only (no investor) periods.Get set up on a property alert from a local agent and think about renting rooms (or buying a duplex) to long term vetted roommates for more income.

My last rental home (room rentals), I was positive $500, but neighborhood went down the drain so I sold it.  

I’m sure you have a whole operation going on but if you have room somewhere to guide a couple of rookies in your area in return for however we can assist you or even jumping in our deal as well, everything is on the table on my end! 

Monitors are not bad (propane or ng) but keep in mind ... with any "single source" heating idea, there will be challenges (one room cold, the other too hot, etc.) -- You mentioned propane.