I guide clients who are looking to treat their STR as active.Somethings to consider are whether you should get a cost segregation study done, creating a log of your hours and having an understanding of what hours count / don't count.

Quote from @Shivani Kumar: Quote from @Patrick Roberts: For Conventional, there are two basic ways that income is evaluated - properties being placed into service (such as a new property being purchased), and properties already in service.

Hi, I got in contact with a mortgage agent from Royal Credit Union, they helped me run some numbers and gave me this as an estimate.
Is this a good rate? I'm not sure how much I'd expect to pay for closing cost.
One...

That’s great advice to evaluate the potential increased cash flow versus applying the extra money to a different asset. 

When allowed: -All subletting individuals are required to submit an application to the Landlord for evaluation and screening.

Property Inspections•Schedule property inspections to evaluate the current condition of each unit and ensure that you have a clear understanding of the properties you’ll be managing.

There was a family used computer which I'm sure my dad's email was logged into and used as their access point to forge the property owners names to try and get a loan expedited by a company called Hero program.

Simple answer as to pros/cons:Pros: easier to get approved than conventional without your personal income/employment/taxes/assets/DTI being evaluated, i.e. lighter paperwork and more flexibility, usually faster too.

Your input definitely adds an important dimension to consider when evaluating investment opportunities in different markets.

Make sure you document the timeline of events and get as much documentation from the people you evaluate the situation.