You are possibly setting yourself up for immediate failure.....there are too many moving parts and too much money involved to mess up this facet of the project.

Permits may be needed for bedroom or bathroom modifications, especially if plumbing, electrical, or structural changes are involved.

Get your credit cleaned up, ditch the car payment and find a side hustle to grow capital. 

Can you imagine taking a couple days off work, looking for a new place, paying for new applications, putting down deposits, renting a moving truck, finding friends to help you move, paying to clean your old place, and so on to “Save” $300/yr? 

Following dinner my partner and I went to tend to a B&B guest and one of the friends “cleaned up dinner”.

A common strategy used by investors, such as those operating through PadSplit, involves purchasing the property, completing basic rehab, refinancing, and then using cash for the interior build-out.Another potential red flag, even without converting common areas, is the addition of individual locks on bedroom doors.

@Jonathan Cooper - Sounds like a short-tax year is involved.

By the time I got to that point the cost and time involvement was so high I decided it was a distraction to what was already working.  

To stay ahead of any issues, we offer coordination of gutter cleaning and furnace tune-up every fall and spring clean-up every spring. 4) Own the outcome—This is the philosophy we live by.

Charge the old tenant for cleaning and repairs, unpaid rent, and other expenses.