Unfortunately, now I'm realizing house hacking might not even be a thing with the new test they are doing in 2023.

Umm thats not how that works..Time is money and honestly (125k/468k) is a 1% return.

Of course if there are different LP partners that will necessitate separate entities, even if the underlying assets themselves don't justify the need.

You'll have Craigslist, Biggerpockets, referrals, you can call title companies, and even other wholesalers if you have no luck finding a buyer. 50% of a deal by co-wholesaling or joint venturing is better than 0% of no deal.

Lenders are increasingly creative with income qualifying including bank statements and even DSCR's.

I'm worried if I buy a property this will make it hard to leave the job, even if I find good tenants to rent the rooms out to.

You can pursue any of the options you mentioned, or even all three.

I'm willing to bet if rates went down significantly than getting this property under contract would have had even more competition.

Some states have specific rules for buying, selling, or servicing mortgage notes that you must adhere to, even if you are out-of-state.3.Federal Regulations: While state regulations are the primary concern, be aware of any federal regulations that may apply, particularly if you are dealing with notes related to federally insured mortgages.4.

This property is probably a loser on day one, especially if you set aside money for maintenance and capex.