In addition to checking into a conventional loan you can look into creative financing.

@Colleen F. unfortunately, AFAIK, there is no other resource than go to small claims court and go after her, which will take me $2-3K in additional legal fees.

Accessory Dwelling Units (ADUs) are an increasingly popular way to generate additional rental income on an existing property.

These are professionals with additional training and a stricter code of ethics.

Additionally, an LLC can make it easier to separate personal and business finances, simplifying tax filings.Quick Tip: Work with a tax advisor to determine whether an LLC is the right structure for your investments.4.

An example of that is tenant must pay for additional electric over flat fee / flat limit since now there is 2 occupants in the home instead of originally one.

Helps you stand apart from similar 4 bedroom homes and if you choose to pursue a rent by the room strategy in can create additional cash flow.

Additionally, the price point is still cheap enough to find the 1% rule and positive cash flow and there's amazing appreciation potential.

There is no additional "risk" on the note like a demand clause etc, but you have  extra expense in upfront one time costs and the pre-payment penalty that most programs are sold with if rates do drop as expected in the future.  

Higher property taxes can eat into your profits, so it's essential to factor this into your calculations.It's worth asking yourself if you'd want to live in the markets you're considering.