So as long as your insurance, property taxes, property management, utilities maintenance, repairs, vacancy, and capex come to $4/mo or less you’ll be fine.

Maybe they work for the fiber company and they want to put some kind of utility hub there.   

I have $100k in cash to utilize to buy a long term rental property.

However, if you want to flip you may be able to make irregular chunks of income quicker that can make up the difference.Which leads me to the utilization of your equity.

A standalone ADU is almost always going to cost more than doing an addition, so the value added or cash flow increases will have to justify each.I work with a team of investors who will buy SFR homes then build a new ADU on the lot and add a separate drive way and meters for utilities in North Texas. 

A few days ago I visited an off market property in Austin in a well established neighborhood if interested feel free to connect. 

You find the house completely trashed with missing appliances and cabinets, tenants were cooking meth, windows broken, etc. 6-8 months of unpaid rent, unpaid utilities, thousands to empty the abandoned property and trash, $50,000 to completely renovate the property and make it rentable again, plus all the time, energy, and stress along the way.I would actually argue this is pretty common and not even the worst-case scenario. 

Since your friend covers utilities, this offsets some of your cost.

Now for my out-of-pocket expenses:Down payment: $7500 (Hard money loan 90% purchase price 100% rehab)Closing costs: $6500Inspection: $400Agent's commission: $5200 (didn't raise purchase price of house with seller concessions, so that money didn't apply to the commission sadly. won't make this mistake again)Holding costs: $1300 (one interest-only payment of $770, roughly $200 in utilities and $360 in insurance)Total: roughly 21 grand. 

More specific: He stole months of rent and utility payments from a tenant (and threatened to evict her!)