It could mean that the neighborhood is gentrifying, if it was a lower income neighborhood in the past.

Monthly income from the rental is $3,400 ($3,100+$300).

You can potentially own the property with no out of pocket costs (rent covers expenses and then some) PLUS you get the added benefits of equity, appreciation, and continuous income from the rent/cash flow.  

I have good credit, but not sure how to obtain financing with my current income so I am looking for financing options that don't require me to provide 2 years proof of income.My current plan is to do the following but would like a professional opinion before proceeding.

If you are looking to repeat the house hacking process by vacating your house every year and also being able to use the rental income, you would want to make sure to get the lease fully executed and lease term would be minimum 12months.

Typically, anything in the middle range has a reduced risk and more favorable terms. 

This could mean a steadier income flow, especially since vacancies in one unit don't leave you without any income.

If its a 2-4 unit you only need 15% down using a True Portfolio program and you have DSCR as a back up that uses the STR rents to qualify and avoid personal tax returns or income.  

We don't have state income tax here in Texas, but they are still sure to get their money!

For example our bridge loan product is ok with your debt to income being to high at the time of purchase as long as the debt to income will be low enough to qualify once you rent (or sell) your current home.