Section 8 doesn’t technically require a closet for a room to qualify as a bedroom, it’s more about meeting local building codes and safety standards like proper egress (a window big enough for escape) and a door for privacy.

Similar to a home inspection, they go in and check what needs to be fixed on the property per code/safety, then they'll also ask what you'd like to renovate/upgrade. 

For your own safety and to convince a lender, don’t buy this property until you can clearly explain why.

Rule of thumb: if life-safety, code, or permits are involved, hire the contractor; if it’s cosmetics to get rent-ready fast, a reliable handyman is fine.

Starting with a duplex is how a lot of investors build wealth — you live in one side, let the other help pay the mortgage, and still keep a safety cushion from your savings.

Larger banks like Chase or Bank of America definitely provide peace of mind for liquidity and long-term safety.

Take control by testing the market fast: drop price into a clear range, loosen noncritical criteria, and widen your tenant pool while keeping safety and income verification tight.

It seems to me to be a flawed safety net for new people. 

My tenants are often female, and they usually prefer being on the second floor for additional privacy and safety concerns.

So make sure it is written as twice a month payment (or every 2 weeks)A clear red flag is this person has no saving as a safety net.