Want to add DADU on my property for first rental-advice needed

[Marc Von Osinski]

I've had this idea for a number of years but just haven't pushed on to do it. 

It can't be manufactured or mobile home and of course we'd have to do all the permits and if I'm coverting an existing building I'd have to have it engineered and permitted to meet code and environmental health requirements. Has to share the same driveway.  Can only be 765 Sq ft based on primary residence Sq ft.(I could probably get this increased but I'd have to get primary residence Sq ft re-evaluated since the basement is finished and heated but of course thay would increase my property taxes.)

Thinking about refinancing primary residence and taking money out to do the additional building.  Have almost 1.25 acres and don't use most of it.

Live in small neighborhood and across the street are 2 rentals one of which is 576 Sq ft 1 bed 1 bath that recently was renting for $700/mo.  

Any suggestions would be great. Really new to this and not sure where to start but see the value and potential of real estate investing and want to start. ThThis Might be good way to dip toe in the pond and help convince wife to do bigger projects esp with not much extra money to work with.

Thanks again for any input.