In the end you have to use whatever loan program fits your current financial situation the best, but in terms of your offer looking favorable to a seller conventional is always the way to go if all is equal.

I'm comfortable with the hard money lender approach, but for the rates available to me (~10-11% interest, 3 points upfront, ~$1,200 processing fee), I figured I might as well ask a few high net-worth friends if they would be open to acting as investors and offering more favorable terms. 

I hear you, I work in real estate sales with investors here in San Antonio, "landlord" is becoming a less popular term for sure.Not sure if it has to do with younger millennial renters or what, but I've found that when you tell people you "own properties" instead, it tends to be a favorable label.

May also look at Running Springs since inventory and prices aren’t really favorable in BB.

There are limits to the amount of personal loans you can have, but there are portfolio lenders that will give loans at a less favorable rate once you surpass your personal limit.

So if someone is able to grab a flippable property and get it listed quickly, the market is very favorable to the sale side right now.

Don't want to be labeled the guy with imaginary comps to get the ARV's in my favor. 

I’m a Beginner on my way to Financial Freedom, What Banks Favor Real Estate investors?

With the current interest rates and favorable lending this market plus the fact that your lease is coming due - sounds like an ideal opportunity to begin your investing by house hacking.

Having favorable terms, payback structures, and access to capital are a few keys to a successful development project.