I would recommend saving a little more.From what I've read about Cleveland is that you need to be concerned with high crime.

So what do you do with the houses - leave them vacant?

When ADU is complete, rent it or move in and remodel main house.After a few years, I think it is highly likely (again wouldn’t count on it, but would leave the possibility open) that CO allows and encourages those who build ADUs to subdivide their properties so that more people can own their homes.sell the ADU and main house separately, benefit from enormous upside.

Property values have been appreciating rapidly in recent years, and the city’s population has started growing again—a trend we haven’t seen in decades.I’m also based in California and have been investing in Detroit for several years, so I understand the concerns of out-of-state investing.

I think it's ridiculous to pay a tenant to leave, but it makes sense in places like California.

Then they would pass us and leave without further ado. 

However, a lot of concerns can be mitigated with looking at their past rental behavior in a lot of different settings.

IE stream buffers slopes  leave tree's replant regulations etc etc..

Condos are cheaper than houses, and to my mind, a vacationer wouldn't care much about staying in a bigger place for their short stay, and would be more concerned with a good location and a nice view.Thoughts?

They look like they are sitting on wooden piers and not on a slab or perimeter foundation.As far as lenders are concerned, that could impact the financing.