That being said, you cant really rent out your pool or finished basement to a Long term rental tenant, but you can with an ADU. 

typically (as you probably know) you buy something distressed, with either cash or hard money, you fix it up, and then you refinance into long term debt. 

I noticed their business is listed as an LLC on their Zillow profile, and we also found that they have a few other unrelated LLC businesses that didn’t seem to work out for them over the years and were short-lived.

I’d love your input on whether this deal could appeal to investors and how best to structure it.Property Details:Worth: ~$300,000HOA: $273/month, Taxes/Insurance: ~$170/monthCurrent Rent: $1,880/month (long-term); next tenant advertised at $1,950/month.Mid-term rental potential: ~$2,400/month (I haven’t tried this, but it’s my estimate).My Financing Idea:Large down payment: ~$125,000 (This is my priority to reinvest elsewhere).Seller-financed balance: ~$175,000 at 4.25% for 30 years.Buyers take over taxes, insurance, and HOA.Questions:1.

I have STR, MTR, and Long term rentals.

@Kathy MerkhLook up to see if they have a nmls number under nmls consumer accessWhat terms are they offering?

https://www.planning.hawaiicounty.gov/resources/short-term-v... has the details.So with that said, I have had several clients purchase STVRs and have great success. 

Prepayment penalties- usually 1-5 year terms.

Some DSCR lender may jump on here and say they do them but I don't like their terms typically.

I have a duplex that I rent out long term and cashflow $1100 a month.