So if all requirements are met in year 1 then I don’t see the issue2. 

So, the residential property would need to be traditionally rented (whole unit/house) for at least a year before rent-by-the-room income would count towards gross income? 

We had major problems with Airbnb and VRBO not covering damages to the home after many phone calls and being on hold for hours switching back and forth to many different people.

I haven't post a vacancy on Facebook market place for about a year or so...it use to generate 100s of inquiries/responses daily, but I posted a vacancy a week ago and it hasn't generated a single inquiry.

Capitalizing on the power of referrals is another essential strategy.

I assured them it wouldn't be anytime soon but in a year or so. 

There is no 30 day close with a 21 day inspection period haha  If you're going to do that become an agent yourself so you can list your own properties.

We 1031 that money and the money from the timber into 3 lakeview lots in Idaho that already have water, power and sewar.

I'll send out an invite and feel free to respond with your contact info so we can connect. 

Doing so ensures they've had notice sooner rather than later, and also so they know I'm running a business and not simply enjoying a hobby in real estate.On the other hand, if the tenant doesn't pay the rent when due, the law in Michigan only requires a 3 day notice.