That said, if managing sounds overwhelming or you’re strapped for time, hiring a property manager from the start is a perfectly valid option.

1st step is to make sure that the electricity is rated for having electric heat by the electric company.

I was originally drawn to it because I wanted to have one place where all my tenants paid rent and where they had the option to set up auto payments. 

I'm sure I could go to some midwest markets or even some more depressed markets in my region and get better pricing, but that's out of my wheelhouse at this point in my life as I have no desire to learn new markets when I'm closer to the end than the beginning. .Sure, obvious but over looked.

I've finally made the decision to get into the market to Build to Rent.

So, your focus may need to pivot from high rental cash flow to little to no cash flow as a rental with an appreciation upside.I would recommend taking your $150K to $200K and securing a solid equity position in something that will cover its expenses and maybe provide a small cash flow, but then is poised to appreciate nicely over the course of the next several years. 

I am pretty sure you can not do a 1031 and use the proceeds to do anything to a primary residence.

Let's use an example of replacing a leaking kitchen faucet (assuming it can't be repaired):You can easily find out how much the materials are by going to the Home Depot website and picking one out.For labor we Googled, "How long does it take to replace a kitchen faucet" and this is the answer we got:AI Overview: Replacing a kitchen faucet can take 30 minutes to several hours, depending on the faucet's complexity and whether you're doing it yourself.

I don't think it's wise to try this until you have proven experience and a solid partnership agreement.It's OK to scale slowly.

@Chris Mason thanks for the info regarding the loan options for ADUs.