There are a good amount of single family/ residential homes in that area.

BP family, I just purchased a home through seller financing.

We want to buy a multi family of 2-3 units and house hack by living in one and renting out the other one or two units.

Explained the situation and he said it may be a challenge to get another conventional loan (investment loan is being considered as well but; Family loan = plan A, bank loan = plan B).We want to keep the property we live in now (since Oct 2023) and rent it out when we leave.

Happy to help you connect with contractors my family has used and that I know of personally. 

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 ...

There are also a couple boarding schools and private schools in the area that bring in wealthier families for visits. 

I'm agent in  kentucky and california, finding a deal between 7%-10% in single family residential in louisville, Ky is the norm, in california you can expect closer to 3%-4%. 

Short Story: Started LLC with a partner(family member) with the intent to begin our joint real estate venture.

I'd also suggest a single family home house hack in a better neighborhood and renting by the room short or mid term.