Turning over some kind of commercial property is more labor intensive but it also scales quickly because of potential returns.

For residential multifamily properties (1 - 4 units), can you use a home warranty to take care of the repair costs associated with rentals?

The cost of labor , materials , property taxes , inflation , interest rates  etc .

If the credit screening costs $25, then you earn nothing.I believe there are exceptions for a higher fee, but you have to stick to the actual cost of the screening.I would talk to an attorney before charging more than $25 per applicant.

Skip forming a corporation for now—it won’t protect you from personal loans, and it adds unnecessary costs.

Quote from @Stepan Hedz: Selling fees (estimate), $30,000, and holding costs?

Typlcally, a lender is going to lend 75% - 90% of the Cost of the project (property price plus rehab cost (scope of work)) or 70% - 75% of the ARV (As Repaired (as completed) Value).

I BELIEVE this credit would be treated just like covering buyer’s closing costs. 

If it costs $100,000 to install an ADU and it rents for $1,000 a month, then it may be worth it.

Repair costs would be $150k.