I just bought my first rental property in Baltimore, MD, and I’m planning to rent it out by the room, including the basement.

I own one half, 3 bed 3 bath, and I’m currently living in and renovating it with plans to rent down the line.

Raleigh specifically has introduced “Fast-Track Plans” designed to streamline permitting to build ADUs faster and more cost-effectively.

Cash Flow Management: If you take out additional debt, it's crucial to have a plan for managing your cash flow. 4.

I used to work in Planning & Zoning. 

My friend and I are planning to buy an investment property (My second his first).

If you planned on moving out of a house and buy another property, as an example, you could pull a HELOC before you moved out and keep it as an emergency fund.  

Without accounting for management fees (I have not yet decided if I will try to self manage), and with planning to raise rents to typical market of $825 for each of the smaller units, and $1200 for the larger unit, does this seem like a worthy first investment? 

Short term it is difficult to make the numbers work, the cost of new construction and the time it takes to zone-plan-build are usually the main reasons why private investors stay clear.

I would encourage you to learn the market you plan to invest in now and to continue to learn about the different methods of investing.