Income would be the same if I compare to the 4 bedroom house at $1000 per room.  

We would buy this house all cash. 

This basis would be divided between the two houses. 

The only reason I recommend focusing on a couple neighborhoods, is because house hacking entails buying in a neighborhood you want to live in.  

Have an owner's closet, where you lock up your extra inventory so the guests can't use it. 

if you want to buy a vacation house for your family, and you can afford it, and you'll occasionally rent it out - that's great, it's just not an investment. 

I wouldn't spend 2k on it or anything.Yeah I have one particular house where everyone who books it constantly says how pleasantly surprised they are at how nice it is and that it looks so much nicer in person than the photos.

@Kris Lou Many factors go into PMC pricing:1) Locality (city/state)2) Neighborhood & Property Class (time to manage Class A < Class B < Class C < Class D)3) Property condition (slumlord properties hard to manage)4) Number of units (some economies of scale, but not as much as owners think)5) Owner expectations (some owners really want a personal assistant!)

Business owners won't want to get tied up in litigation and if there is a good chance they will lose, it is easier to simply follow the contract.How would that work with a lower-end tenant? 

 Hi Roger, yes, the plan is to house hack.