If you're looking to invest in Jerome Village, definitely factor this future charge into your cash flow calculations and maybe have your CPA take a look at the exact language in the Declaration. 

If you're comfortable with these factors and the cash flow remains strong, it could still be a great opportunity.

Did we factor in for these adjustments and what will come of cost should we transition to a hold strategy at (x) less $s or (x) more $.

Can you show reserves factoring the DP and closing costs?

Maybe this would also make it worthwhile to jump through the city hoops to make the basement a legal unit.Then you could maybe put a LTR in the basement who could assist with the STR in the main area.

It's technically not an ADU if it's the only property on land as it's an accessory dwelling unit to a main unit.

I realized we would not get the same valuation as the main home but at $130k for 440sq ft I did not realize we could be in a negative equity position.  

Hi Kyle, not sure what you mean by underground, but I'm based in Seattle and invest in mainly midwest markets (Detroit and Memphis) where I have 9 (soon to be 10) doors.

Rent controls will be a real issue if you are planning it as a rental investment which in fact reduce the value of the main house as a rental.

Just remember to factor in that you will now have fixed monthly payments on the original three which will reduce your cash flow.