It can be very expensive (in comparison to long-term rentals) and needs to be very organized and responsive as customer reviews drive rental income.

There are non-recourse lenders, but it's not really what you might think.

Using a HELOC puts more liability on you while the hard money puts onus on the lender while you leverage their money and maintain as much of yours as possible. 

@Chris Papa if your plan is to flip properties, most hard money lenders in Texas will require that the properties be purchased in an entity. 

I'd like an attorney to review all the docs I have to ensure everything that needed to be filed with the county has been done.

HELOCs are all portfolio mortgage products, and as such each lender makes up their own terms/conditions.

Lenders are still unfortunately tend to be very conservative on the rent-by-room (SRO) type arrangements still - its an area that really could use some better understanding out there but just be careful with expectations because a lot of the treatment of these properties (even if nothing like a old-fashioned "boarding house") can be tough

I currently own a property already and went through a lender to get an approval for another property.

Your Credit Score: 680+ or 700+ will get you better terms depending on the lender. 660 is the minimum for many lenders.

The commercial bank or lender will look at your overall portfolio, liquidity, experience, and other factors.3.