On public websites, I see some options to acquire a duplex in central Los Angeles under $550K which would require at least another $50K of work if I do not outsource most of the labor.

Leverage / down payment required will depend on if you're a U.S. citizen, Green card holder or if you have another immigration status. 

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.

With only requiring 5% down the money needed is very low compared to the Cash On Cash return you could make on a small Multi Family. 

There is a 30 year conventional loan product that only requires 5% down, which is great to use with this strategy.Are you focusing on investing in Bangor specifically?

Hey BP Community,We all know real estate investing requires money, but not everyone starts with deep pockets.

Give them a short, professional notice and move on.Second, I don't think a specific form is required in Massachusetts.

There are two requirements to claim REP status1) 750 Hours2) You spend more time on real estate than other activities such as your W-2 Job or BusinessYou want to work with a tax professional who will be able to advise you on what hours count and what hours do not count.Furthermore, the CPA may have a nice worksheet that you can use to help you document your hours.Best of luck!

I also require the tenant to have renters insurance with liability coverage for me and them.

If they refuse or seem evasive, consider it a red flag.Financial transactions require trust, and unfortunately, my experience with Century Key Capital has shown me that borrowers must stay vigilant to protect themselves from hidden costs.