From a practical standpoint, get some reps under your belt with even a 2-6 unit multifamily on your own. 

Experience level 6.

You can’t because the tenant would have to say…I only want to live in this 2 square miles, I need 3 bedrooms, I want a 2+ car garage, I need a yard for my big dog, I want laundry in the unit, it must be on the ground floor, nobody above, between 1200 and 2,000sf.

We spent the last year remodeling the basement ourselves and currently have our first medium term renter (We fully furnished the unit to squeeze more rent out). 

It is costly to live in one of the finest climates in the world (assuming you were not lucky enough to get the small number of lower income units - like winning the lottery).  

In 2018 I bought a six-unit property with 10% down and earned great cash flow.

I recently found a property on Zillow that looks to be in good condition (built 1940s) and has a finished basement that could be rented out as a Mother-In-Law unit (separate entrance, kitchen, and bathroom) while my partner and I live upstairs.

Commercial lending doesnt have rules about unsecured funds use (credit cards, personal lines, etc) that residential agency financing has (fannie/freddie 1-4 unit).So where you obtain funds to consummate your equity (down payment) of your transaction is more flexible.Its one of the reasons to build a business that has a good credit rating so you can obtain money to build your real estate holdings. 

what I was thinking I can do is move my family into the empty unit after the lease is up and attempt to furnish the unit I live in currently ...

I knew the area and now much more on a detailed level.