Some potential problems in my opinion:- 2 tenants on the lease which complicates the agreement- May have overnight guests whom I would not want to stay- May sub-lease the extra bedroom to people who I do not approve of- If only one moves out, I cannot rent the whole house to a family.

How "bad" of a home can your financing handle (I am hoping you will have a mortgage pre-approval some simliar Proof of Funds)? 

The higher end flip market is soft and new first time home buyers are all maxing out on there pre-approvals.  

During this time I got pre-approved for a mortgage (because I have to finance). 

And mortgage already approved and have the money in title company.

We did have to get approval for everything on the outside of the house and although it is an extra step, the historic preservation association was very easy to work with. 

I'm currently in the process of BRRRing a property and have been approved for the funding by an HML.

She went and picked up keys to a rental on a Monday and had the approval to move in for Friday of the same week.

First step is to check with the city or county to determine if you can do what you want to do and what is required for all zoning approvals and the time frame, Ask if you have to install curb, gutter, sidewalks, street signs, street lighting or any other special requirements. 

 1) get pre approved with a lender and 2) get a relationship built with a local agent that knows the  area and has time for your plans ....