To ADU or to Purchase Another?

[Marisela Arechiga]

Hello BP community! 

New investor here and excited to engage with the community. This year I purchased my first Investment Property in Kern County and its currently being rented. I have some additional capital put away to convert the garage into an ADU to create a Mid-Term Rental but was wondering if it would be a better ROI to use that capital to purchase another investment property? To convert garage into ADU or purchase additional? What would you do?