In my experience, the law is never truly black and white there are typically grey areas in contracts. 

I purchased a home here a few years ago, brand new.

Typically the Midwest if you’re looking for cash flow we like 2% price to rent ratio.

If the home was still your primary residence throughout 2024 and not actively listed for rent, it would typically remain classified as a personal residence until the lease began.

That would typically NOT be by going above and beyond changing the way heat is delivered as ductwork would require a lot of demo to do right. 4.

He is hoping to get $200k but current value of the home is more like $160-$170.

When I am looking for a new investment property and am strapped for cash, I typically look off-market and try and find something that can a seller is looking to sell that needs minimal repairs to be rent ready and the purchase price is 80% of the ARV this way I can use private money to buy in cash, do the repairs needed then refinance on a DSCR loan and pay off the private money loan. 

A lot of clients ask me how much I spend on a typically full cosmetic rehab of a duplex unit in Philly.

But unless you take a chance you'll never know.Some basics on the home.

In my market the valuation with f/f non commercial financing is typically lower than the hands off cost of adding the ADU.