If any of you have questions regarding the firm, please send me a message directly and I will email you or set up a call.

It's written into the lease that tenants must deposit their rents into that particular account (either by online bank transfer or by walking in a check/cash); I do not collect rents directly, nor would I if anyone asked.

I cold call and go direct to the seller and I have a 3 person team that pretty much just calls all day long for me.

I am thankful that steps in the right direction are being taken. 

Consider getting a statement signed by all parties which states that everyone has agreed to terminate the current lease early on X date and all obligations by all parties have been paid in full and that the deposit will be kept by the landlord and will be applied to the new lease. 

Most people don't qualify for that relationship.The seller financing will not show up or affect the credit score.However, when applying for a loan at the bank or especially a Federally Guaranteed loan, they ask on the application for ALL Loans, whether  or not it shows on a credit report.

This initial negative equity position consumes the initial cash flow.  2) the addition of the adu makes the property multi family and likely makes rent control apply.  

Insurance is expensive, there is a lot of extra maintenance like painting or electric in common areas that don't apply as much with smaller units. 

It applies to STR in the same way.Is anyone here adjusting their investment strategy because of this?

He is regarded as the STR expert in the area but he has used every strategy in the book, and should be able to point you in the right direction based on your goals!