The mortgage rate for rental property is quite high, and is often higher than rent-to-price ratio, so in terms of capital cost vs. return on capital, it does not make sense to get a mortgage.

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+, zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680, some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Choose the right property: Look for a property that can generate enough rental income to your mortgage and expenses, ideally with additional flow.3.

These are things that will increase your cost of ownership if not properly maintained. 

Also, for house hacks generally, you cannot write off any % of your mortgage since it's your primary residence.

Some expenses are:- Mortgage interest- Insurance premiums- Utilities - Management costs- Maintenance and repair expenses- Marketing costsYour CPA will be able to guide you through the whole process.

If this doesn't work then file the eviction and be sure the proper documentation has been served officially. 

I would build relationship with mortgage brokers, bankers, credit union loan officers for the traditional stuff. 

Also, how much LTV would I need to raise in order to get proper financing?

I don't currently have a mortgage on the house, if I set up a lease option would that stop me from taking out a mortgage so I can pull out my forced equity from all my improvements to the property so I can roll it over to a down payment for another investment?