.• Be in a zoning area that allows short-term residential rentals.• Have written permission from your Homeowners Association (HOA), if applicable.

That would be a red flag for me personally.

Another option can be using a Hard Money Lender, a lot of times there is just less red tape involved.

Land acquisition, entitlement and zoning, permitting and site plan, construction budgeting, and then at that point, we do the last piece which is cost of financing.

Get out of your comfort zone.

What red flags should I be aware of?

However, this exemption often depends on specific criteria being met like building permits, zoning compliance, and certificate of occupancy for the newly created units and you would get this from the LADBS.

If people own a cabin that is zoned to allow STRs, then they are going to rent them via an STR program. 

If I were going to do anything, I would have shut down the entire thread.You had so many red dots your profile looked like a Lite Brite 😂😂 sorry, mod humor.

Many investors have shown preference with avoiding tsunami zones and high risk flood areas as well as greater clarity on anticipated insurance costs as part of their search criteria and due diligence.