Hey Nithin, one of my client's closes today on a next gen home that they plan on renting out the separate unit.

I've consistently written about the forces of nature and her current and future effects on the real estate market (even while often being ridiculed and politicized on this very site for it) regardless: I personally moved and invested in coastal Oregon in 2018 from Venice Beach Los Angeles partly as a result of the trajectory of climate and have assisted several clients that specifically purchased on the Oregon Coast for their own 'climate havens,' investment and future retirement homes. 

Instead we live in a society where most are  seeking instant gratification and are lured by short cuts to success which breeds coaching and mentorship designed to take advantage of these desires....how to scale or invest in real estate with no money,  how to buy your first 50+ unit building etc.

It seems like location would be especially critical with pad-split (and similar systems), but I’d love to hear your thoughts on what to watch out for in terms of zoning, safety, or demand.Also, I’ve traditionally rented out units the regular way, so I’m curious how screening tenants works for you with the pad-split (and similar) model.

It is just laughable when places have regulations like a homeowner can only have a certain number of STR listings by the law but these big name companies suddenly start with 20 units in the first month.

I have missed out on rent from an empty unit. 

The biggest thing with this is if something major happens are you legally covered if the unit is illegally rented. 

Mortgage lenders will qualify you for a higher purchase amount for multis than they would on a single, because they will count the rent you will be making on the other units as additional qualifying income for your loan application.

I'm trying to analyze my first property and not sure how to set it up to run the number using the calculator tools here. 2 of the units are successful Airbnb short term rentals, and the other two units are month to month rentals to existing tenants.

Investment Info:Small multi-family (2-4 units) buy & hold investment in Madison.