Option 1 allows you to spread your investment across three properties, considerably increasing your rental revenue and accelerating portfolio growth; however, maintaining several mortgages can be difficult, potentially limiting your cash flow, especially if one property is vacant.

This is why I like to put my SDIRA money in debt funds since no UDFIWith the HELOC you are basically breaking even on the deal most likely or make very little whihc at that point is it worth the risk. 

I know you can buy properties faster by leveraging money from others, but I think it increases the risk.

Hey BP,I found a FSBO property in my area that has potential to be a solid house hack deal. 

This is a test of your risk tolerance. 

It will be up to you to vet the potential deal sponsors/partners and Underwriting properly to make sure it's a good fit.

The others involve more risk or less reward. 

Debt Service Coverage Ratio loans (DSCR) utilize the potential property income for qualification, not your own.

If you don't have experience, you don't want to take your family's money and put it at risk.

Efficiency apartments or duplexes can be particularly appealing in this market, providing affordable yet attractive options for potential buyers or renters.