One-person rental units are in the highest demand, and co-living directly appeals to this market.

Tell me - someone selling their home to your son, Subject-To - is this a person who has made good life choices? 

If someone injures themselves and sues, they will be suing the LLC and not you personally.

Be that person who set's up some STR's there, runs em there, and really caters it to the US "bucket list" tourist. 

I typically don't comment on other's businesses unless I know from personal experience.

I was thinking if I can talk to my neighbor about sharing the cost (I, the landlord, personally provide labor and my neighbor provide material (e.g. fence pickets)).

. =) It's literally the most transparent and traceable transaction medium mankind has ever seen lolThe transaction can be traced, but not the person.

Personally, I wouldn't offer SubTo or a Wrap, For reasons I've written about fairly extensively. https://www.biggerpockets.com/forums/70/topics/1227199-the-m...However, I would sell on "Lease Option" and that may work for you.

Buy a fourplex so you have a place to live and three rentals to cut your teeth on.

Personally I wouldn't feel comfortable trying to wholesale a relatives $1M home knowing that I am breaking the law if I cross over into doing anything that can be considered representing them in the transaction, and knowing it will only be marketed to people who buy properties wholesale (typically investors who don't want to pay retail prices), instead of the majority of retail buyers active in the market who are typcially willing to pay more.