I’m living in Bay Area where finding deals that generate cashflow is impossible.

What kind of initial investment should I expect?

This of course depends on your starting bank roll - but if its like mine (under 100k) - Im trying to put as little as possible into it on top of initial equity and fees.this will likely chew a big hole in your ROI  (now if you are looking to improve value with a cash out refi or a great prospect comes along that needs combo new plumbing, roof, windows, foundation repair, etc - well just make sure you know what youre getting into and/or have a good contractor and finger on the pulse of the market when estimating the ARV YOURSELF - couple missed items and you risk having a bad first investment and not doing it again).    7) dont be scared be ambitious ( i should heed my own advice sometimes) 8) define numbers goals within your target areas.  

Also make sure you understand everything about adding an ADU including value of the ADYPU, financing, impact from rent control, duration between initial expense and initial income, true cash flow (know the 50% rule, at 50% rent ratio initial property tax will be near 20% of income)- educate.  

One of the key benefits of a DSCR loan is that it allows you to qualify based on the rental income the property is expected to generate, making it ideal for those with multiple properties or who may not have a strong personal financial profile or W2.

Congrats on taking initial steps for getting invested in Philly!

.- Converted to a rental in 2024; initially rented for $4,750/month, but tenants moved out, and the soft Bay Area rental market has made filling it challenging.

I hear if you fail it could take weeks for them to come back out so I just wanted to better prepare for that initial inspection and what to expect and also, any issues before then.  

Appreciation is not a bonus or luck, it is literally the number one wealth-generating force in real estate.

I actually had an initial phone call with the co-host that ended up lasting an hour because he kept giving me tips and local knowledge.