A tiny bit of cash flow with solid appreciation. 1% rule is almost non existent here so cash flow is tough, but it is possible. 

My clients CALL ME and want help.I decide if we are a match.I focus on quality buyers and relationships over quantity.

Tiny homes?

Another option I am not sure is legal would be to rent out the backyard/driveway to a tiny house/airstream/RV. 

It is a decent sized rectangular lot (typical of the neighborhood) measuring 6,250 sf, but the property is tiny with only 1 bed & 1 bath measuring all of 521 sf. 

@Sandy Hu what are the rules/regulations in JT to have a main home and a tiny home on wheels in the same single family lot and Airbnb both for short term rental income?

Maybe go Tiny home!  

The issue with a tiny 2 BR house is always that you'll end up with a very low ARV.

A literal tiny house might be listed at 399 now, but that’s it.So while sure, there is softening on these bidding wars I think it’s directly related to a huge jump in price point late summer, but the market is still wild for the best best deals.

Tiny houses are also an option, but the city of Seattle recently banned them as STRs (which is really what they’re best for...)Good luck!