Readers should seek professional advice.Great responses hereHowever, full site visits, though more expensive, maximize tax savings by capturing every depreciable asset and offer better audit protection....This post does not create a CPA-Client relationship.

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.  

I completely understand all the financial calculations and models in the system and yes, it would have been fairly easy to build one myself, but very time consuming.  

A well written management contract should clearly spell out what is expected of both the PMC and the owner, to PROTECT both and avoid misunderstandings.

Instructing or deliberately causing a borrower to sign business-purpose loan documents when you know the money will be used for consumer purposes has always carried civil liabilities.

We have a 14-page management contract that we've added our real experiences to over the years, with the intent of protecting both us AND the landlord.

@Ryan Daniel  I will preface this with the fact that I have a legal background, specifically with estate planning and asset protection in relation to real estate investments.

Not only will this lead to you being alerted if the policy lapses, but if their pet bites someone it may protect you from a resulting lawsuit.4) Unathorized Pet- Check your lease and state laws to see if you can terminate the lease over this.

@Brice Alef-Torrisi To manage finances for multiple properties, maintain separate bank accounts for each property if held under different LLCs to avoid commingling, which could jeopardize liability protection and complicate tax deductions.If properties are under one LLC, using a single account is fine but requires detailed record-keeping for each property.

@Charles Evans Zelle and Venmo do not provide the same protections as a third-party rent payment portal.