Best to study these and do the correct due diligence beforehand so you are not disappointed in an investment.

There could be a million reasons as to why you didn’t achieve that goal, but course correct and get it next year!

The online tools are a good way to get a ballpark number and can sometimes be close to accurate, but a PM is able to tell you a more accurate amount. 

I don't think you are going to be able to get insurance for two separate living units in a single-family when they are both illegal and likely do not have the correct egress windows (basement) for fire safety which could subject you to huge liability if something happens to either party.

Quote from @Michael Smythe: @Sean Gallagher legally you are correct, but many tenants do NOT know this.We take over properties all the time and close 80% of existing tenants sign a lease with us.True! 

Now that you have the correct terminology, you can search for lots of potential solutions. 

If I do a cash-out refi, it will change my interest rate, correct?    

It really depends on what you are looking and I think your thought process is correct.

We had to make sure we sidestepped them and only added information to the correctly entered, active applications.

Start early, raise that equity well in advance, and make sure all those forms and verifications are filled out correctly.