If you're looking to househack again, then the conventional 5% down is a very viable alternative to the 3.5% down FHA option. 

That said, tenants sometimes push for alternative solutions, as in your case.Here’s what I’d suggest:Broaden Your Marketing ApproachFebruary and March can be slow months for leasing in family-oriented communities, but it’s not impossible.

Alternatively, I have spent the last decade doing technical work in cybersecurity, and can land a job between $140k-$190k (depending on where in the US). 

Or of any alternative strategies to make this work?

In all the above listed alternative investments, there is seldom any discount pricing and you give up control.

Alternatively, you could split it between House 2 and 3 in a way that covers your building budget for the apartment.

.: Thanks for the replies I totally understand you can not eliminate risk 100%I was just wondering if there was a safer way to handle this. 

I'm looking for alternatives, I liked LandlordStudio actually but I hate the name, seems so impersonal to the tenants and not in their favor.  

If you’re considering leveraging hard money lending (HML) for this flip, it could be a strong alternative to traditional financing—especially since HML is quicker to secure and designed for investors aiming to flip properties fast.With HML, you’re typically looking at covering a significant portion of both purchase price and rehab costs, which keeps more of your cash free for other expenses or emergencies.

With cast iron it's safer and can last longer.