Does Hard Money typically cost 30-40% of the purchase price?? 

Just different colors etc....He initially listed his for $505,000.There are comps in the area that justify the 495-500K.

The real estate investing industry uses "Classes" to rank property performance risk, but there's NO agreed upon industry model:(Here's what we use for our Metro Detroit market:Recommend 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?

The reality is the land has value.I believe you are typically far better purchasing a different property with conventional financing than adding an ADU.  

:)As for LTR rental terms, usually we sign a 1 year lease where tenants are expected to pay Electric and Gas if applicable, while the owner typically pays water/sewer/trash with the city. 

I see many situations where one generation wants to buy out a prior generation or, more typically, siblings.

Typically, conventional loans backed by Fannie Mae or Freddie Mac are eligible, while government-backed loans like FHA or VA loans often are not.

What kind of returns are you typically seeing on these deals?

Typically homes in-between tenants, or a new purchase with intent to have renters within 30 days this is allowed. 

@Kenny Bao typically I’ve found my work in connecting in off market deals 100+ units has left me spinning my tires.