The higher insurance premium required a higher escrow payment which the original borrower didn’t let me know.  

Due to item 1, adding an ADU can require years to start achieving any return (once the accumulated cash flow recovers the initial negative position).4) Adding an ADU is a slow process.

You can put a mortgage into a "trust: without triggering a due on sale but again contacting your bank/lender is the best route to avoid any issues.Some banks/lenders or servicing companies change guidelines and even a trust may require other paperwork but the attorney usually facilitates that to be safe.  

Rent control measures, burdensome employment regulations, and excessive administrative requirements exemplify this.

I’m trying to keep things moving, but this $20K requirement is throwing a wrench in my plans.

I have a few lenders who do but they still require some money from the borrower so they have skin in the game.  

@Sham Haile you should look up the Tenants Union & RHAWA websites to review the notices and requirements for how notices need to be provided to tenants when a seller intends to sell a property. 

That 2nd requirement is  what makes it close to basically impossible with a W2 job.

I am sure the interest in that hard money isn't great.All DSCR loans I have seen require at least 12 months.

If the owner does not meet that residency requirement, another human being must be identified as the local agent in charge.