It will likely still continue being a difficulty.You mentioned bills, are they credit card bills?

Any local bank that does this kind of financing should be able to approve you as long as you have a good enough credit score and never declared BK.

@Stefano Vrolijk it all depends on your credit history, whether you have an SSN/ ITIN and how much you can put down.

They could even hire you to do the work on the house and instead of paying you they could just give you a credit at closing.

I finished all the degree requirements only to discover I was extremely burned out and had to complete another year of electives to satisfy a minimum number of credits at that university.

All that said, we just met them in the middle and gave them the credit because we wanted it to be over.

Rate will be highly dependent on loan size, credit score, LTV, location, and property type, as well as a few other factors.

If I have several options, I would prefer a HELOC with no initial draw requirements (i.e. to establish a literal line of credit that I have no specific short term plans to use), i.e. not something like the better.com HELOC. 

im in Orange County CA and there is a huge market here for room by room rentals here. i've been doing this for quite some time (over a decade now), and it certainly has its pro's and cons. my advice if you go about this is make sure you do proper vetting before moving someone in... not only for financials/ credit-worthiness, but also for temperament and expectations in a co-living space. we ask a lot of questions like "how do you handle conflict?"

I would definitely check Dunn and Bradstreet for any open lines of credit, liens, judgements and the like.