There is a single family home in front, and in back there is a guest house/loft above a garage.

As for valuation, I see no reasons why a Junior ADU would negatively impact additional housing unit.

If I were in your and/or your mother-in-laws shoes, I would go to a local bank and use the free and clear house to secure a $150K+ line of credit. 

McKinney is thriving, but so are other parts of North Texas, and a broader perspective could reveal other great opportunities.Here’s what I’ve observed managing a significant number of rentals in the area:Bedrooms and Layouts:3-bed, 2-bath homes consistently attract the largest pool of tenants and have the highest occupancy rates.4-bedroom homes have grown in demand, especially with the rise of remote work, as tenants look for extra space to use as a home office.Square footage is less critical than number of beds and baths.Supply and Demand:McKinney’s growth is driving demand, but the quality of the location matters greatly.

As I'm sure everyone knows, the housing market is pretty locked up right now.

The idea of raising funds from new investors to get them involved in selling lease option houses to tenants does not pass the sniff test.In a nutshell, this is why lease option is so terrible.

Please reach out if you are a lender or can connect me.5 Bed 2 Full Bath & 2 Half BathExisting Mortgage ~$550,000Home Value ~$1.1+ MilSounds like a great deal.

They ended up billing me $200 a month for several months before I realized what they had done.My wife's a Realtor and we flipped a couple houses that she found for us.

What is the average acquisition cost of the houses?

Quote from @Vid Vin: Was the house really for 2000 dollars?