For HUD-VASH (the VA run program to help vets with Section 8 vouchers), the paperwork and standard of unit is virtually identical, but with the added support of your tenant having an assigned social worker who regularly visits them at their home, and occasionally will bring in other service providers if needed. 2+ Bedroom units tend to be in much lower demand for HUDVASH though, so bear that in mind if you're purchasing an SFR. 

While not identical, this is very close to what I'm suggesting.To be clear, I'm not looking for funding.

You can also legally obscure your identity as the owner of the property from various public information sources.

Let the house go back to the bank.  1and half later buys almost identical house for 350k as the market started leveling out. 

I'm libertarian so taxes are theft.

Be sure there is an end date - the neighbor did one for a tenant without one and when he wanted to cancel it after non-payment of rent (and his kids running a car theft ring out the property) a court said no, tenant could buy whenever. 

An investor operator makes investing more of an identity than a passive investor.  

In real estate, it is unfortunate that "mathematically" the formula for this Operating Yield is identical to the formula for cap rate!

I wouldn't do it because of risk of theft but also liability in your part if they get hurt or make claims while occupying your property. 

That's why NY State passed the "Home Equity Theft Prevention Act": Home Equity Theft Prevention Act There are as many scammer using Sub 2 as legitimate investors doing it.