Lenders don't like uncertainty and changing DTI, debt load, etc creates uncertainty.

This means that when one of us goes to get an individual loan, the bank will not look at the other person's debts/liabilities.

And yes for you "negative-nancies" out there, we do have to split the cash flow and equity (and debt)!

I am the SF Bay Area and I sold my primary residence with the goal of using that equity for two things: become debt-free (check) and have something with which to start BRRRRing long distance. 

No amount of rent control legislation has ever changed that basic reality anywhere in America, despite all the hand fluttering and pearl clutching.We live in a country where no one has any money aside and Bankrate.com estimates that a $1K emergency would push 60% of Americans into debt.

I would probably lean towards the refi because it would be a fixed rate and you won't be paying back the debt quickly.  

Hi, I'm a prospective first time home-buyer (please forgive my ignorance) looking to house-hack;  I recently visited an open house, liked the house, and really liked the ideas that the seller's agent had on how I could cash flow the place.

If you can identify a way to help other people do any of the following, you will be much more likely to find a MF partner: sourcing deals, sourcing capital, securing debt, underwriting and due diligence, execution of a value-add program, securing the operational side, etc. etc.

You will definitely get debt pay down with a property as well as depreciation.

Depending on how your borrower responds could go longer if they file bankruptcy or challenged the debt in court. have you made any contact with the borrower to see if he or she is willing to execute a deed in lieu?