So far just some landscaping and a 10'x16'storage shed (since there is no garage).

They were not explicit that the shed on the complete (left) opposite side of our home from their house (we thought it was simply storage for us) is their ‘work shed’ where they congregate, repair, and ride motorcycles.

If I were in your shoes I would wait to source funds from somewhere else. 

In general it is best to own your primary in your own name, especially if your state has homestead privileges.My property mgt s-corp I use for my portfolio does rent storage space from two of my commercial property LLCs, but I doubt there is an advantage to renting your primary res to yourself.  

I am considering fencing off half of the yard and adding a couple storage sheds for some added cash flow.

@Trace P.If it’s “only” 10 days, tell the seller to get their stuff moved into storage pods and live in a motel.

You can’t add a storage shed, make another bedroom or change one of the floors to another unit.  

Residential, commercial, multi family, industrial, self storage?

So my question is, if you were in my shoes, what would you do next? 

@Ken Kurobane if i were in your shoes, I would go with option B and refi the house you currently own.