Second biggest mistake is failing to realize these construction loans allow draws on improvements meaning cash expenditures are required before the first draw can be issued.

If you can find practice tests, that is my recommendation - that is what I did after taking the required time component and did not have any issues passing the test. 

The Fannie and Freddie programs handle this issue slightly differently.

Any legal issues I should be aware of in this situation? 

I do, however, see you regularly posting regularly on LinkedIn, in a similar fashion to your posts last year here on BiggerPockets.Normally, this would be an issue that I'd move on from and not waste my time on.

I have seen issues like this and WORSE brought right to the district attorney's office with the same kind of result.

This plays into the affordability issues for tenants by allowing them to live in nicer neighborhoods for less money, yet I get monthly revenue comparable to short-term rentals.

The same issue? 

If there is any issue I call plumber handyman.

It helps to ensure everyone is on the same page and can save you headaches if issues arise.If you need further guidance on structuring these points or tailoring them for your project, feel free to reach out—I’d be happy to help you get started!