This amounts to lost opportunity because if you had purchased RE, at the closing it can start producing return. 5) ADUs detract from the existing structure whether this is privacy, a garage, or just yard space. 6) this is related to number 1, but there are many more buyers looking to purchase homes for their family than there are RE investors looking to purchase small unit count properties.

@Derick JenningsRecommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

And even it's SF when you purchase it, again because it's not 100% MF including the county/city classification, you can use rental income from both units to help you qualify for future investments.Option #3 is something to use only when you're not willing or able to move into the property.

Double close: You do actually purchase a property and then sell it the same day to another buyer.

You get some of the strongest rent demand in the Phoenix area being closer to downtown, and then you position yourself for the upside of the growing North Phoenix economy with TSMC and other economic developments.If you want more info, I can send you the 3-5 most recent properties my clients have purchased in the last month for you to review.

Purchase price: $90,000 Cash invested: $25,000 Bought a house this fall in Minot for $90k.

To add to @Ashish Acharya, I would recommend using your retirement funds for notes that earn a nice interest rate, if you're into self directing.Given that you want to purchase a short term rental, I'd highly recommend not doing this within an IRA/401k. 

Would it be possible to connect to discuss more about the process of purchasing property as a military investor? 

I did a check on a guy 10 years ago came up clean as a whistle on my landlord association screening service.

As you purchase more, your net worth will go up more quickly than the savings in interest with the other option.