@Julie Garner This contractor texted me after I received the quote to let me know that materials are included.

that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Another property assessment included another home that had been demoed/removed before we bought the property. 

Future deals should include a 10-15% buffer for unexpected rehab costs.- You should consider some other lenders.

Common fees will include a set-up fee, a leasing fee for each turnover or a lease renewal fee, marking up maintenance, retaining late fees, and more.

Down payment of $13K including reserves sounds pretty low to me . ( Based on Maryland )

HOA is currently $172/month, with and additional $44 for club fees, covering club amenities, including a gym, boat lift, a restaurant etc. 

@Pat Aboukhaled I would ULS (unit lot segment) the primary house and include a clause in the call option that would prevent them acquiring the DADU.

It is a commercial property/business that I am buying.And if you had 4 or 5 SFR that were all hosted by a "brand account" you could certainly sell them as a portfolio to someone, and including the account that runs them and generates all the income would be very valuable.

Key updates included kitchen and bathroom remodels, new flooring, and enhancing curb appeal.