Regarding getting started, I recommend finding an STR owner who's overwhelmed or just worn out with managing their property, and perhaps who's also not using a dynamic pricing tool, and then offering to manage it for a very small cost. 

The loan is listed on the HUD and they provide lender's title insurance.   

This was a cost-effective way to meet our requirement of providing just a stove and refrigerator (we don’t include washers or dryers), without breaking the bank further.But here’s the twist: If we were upgrading appliances for a long-term tenant with a stellar payment history, we might invest in brand-new appliances.

Talk to friends and neighbors and ask them who do they know that wants to be in the area.I think you can find someone to wrap your mortgage to at or just above your loan balance and maybe a point or two higher than your mortgage.

Did you underwrite if you would bring in investors (LPs) to help provide the down payment?

Keep providing value add options for your owners & they'll keep knocking.

But at some point I do find that next niche that works for me and I like and go into that full steam. 

Hi @Brian WongI can provide some ADU contractor recommendations in Los Angeles if you want to DM me. 

If multifamily properties in your area are priced well, it might be worth moving forward sooner rather than later.Risk Tolerance: Since you’re the sole provider, it’s crucial to ensure you have a solid emergency fund to cover unforeseen expenses, especially during vacancies or repairs.Long-Term Goals: Think about how this investment fits into your long-term financial goals.

@Derek Heinz you might be better off finding a major fixer-upper, getting a hard money loan (HML) to acquire it.