Make sure you know the impact that adding an ADU will have on any rent control. 12) investors seldom include the land value in the overall ADU costs.

If I had to pay my cleaners on top of the loss income it would impact even more as my cleaning fees range from $100 to $400 depending on the property.  

I have about $4000k left on my car loan and I have some student loans which both of these do have some impact on qualifying for loans.

You could probably afford $20,000 without much impact on your budget.

This is a tough one as I believe there were mistakes made but would it have had a significant impact on what happened?

Your response also got me thinking about how this classification might impact the appraisal if this is not a mistake.Rick 

I'll add a few more things that can have a huge financial impact: required reserves, LTC (loan to cost), application or other upfront fees, and prepayment penalties.As a fellow flipper, I think it's important to have reserves, but they shouldn't be required as part of your funding.

Here's some basic copy & paste info that may help you make better investing decisions:----------------------------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

I love your idea, I think it’s a great way to make an impact.

The property can only be vacant for so long without notifying insurance so when the prior tenant moved out could be impactful here.