After explaining the below to his lawyer, the lawyer said it was very complicated with several tax implications (which we are trying to avoid of course).

You want an accountant that can help you strategize and who is responsive when you want to know the tax consequences of the decisions you are making throughout the year.House hacking will complicate your tax return.

The 1065 has become increasingly complicated. 

And then you had to go and start over complicating things and pre-selling how losses are ok, no, there not, a loss is a loss and it's no bueno, don't lie to yourself.

Is this a better option in my case, or this too risky/complicated for a newbie? 

I know that "tree law" can be very complicated and varies wildly from location to location.

The local zoning can consider anything they want commercial.To make things more complicated, you can get commercial loans on single-family properties.See the below examples in Columbus, Ohio.

Homes sell for higher than asking price/bidding wars.Rent to value ratio doesn’t seem to work on any property.Capital limit of 120k.No access to off market listings.When we run the numbers, cash flow is either negative or barely breaks even.ResourcesWe have an excel sheet we plug our numbers into, but it seems that no matter what scenario we look into, it just never adds up so we can cash flow or hardly break even.We have also been listening to a lot of podcasts, reading forums, and talking to lenders, realtors, and property management companies .We understand that delving into real estate is a complicated and nuanced endeavor, but we’ve been researching so much and still cannot figure out how other people make it work.

So far they are the only prospective bite but from cornavirus complications I think that's where credit score took the biggest hit.

And to complicate it all, I'm a self-employed worker with credit that I'm in the process of cleaning up.