Additionally to the other comments, the decision to use management software relates to the cost of one's time; in other words, what opportunity cost is your time / money?  

And you need to weigh those pros and cons to make sure Section 8 investing is the right decision for you personally.

It could be the tenant doesn't like to fully close the door because it gets too steamy in the shower.Water leaks can be tricky, but in my rentals, more often than not, it is an action by the tenant and not a plumbing or poor construction job.  

They also are making all the decisions on the property. 

It isn't something you will be using on a day to day basis to make decisions and take actions.

Generally most private money lenders are going to play a lot more conservative but be able to close faster/make a faster decision on lower risk deals. 

Some have a major decision right to force a sale, some would extend, others may convert to common equity.

Combine this with poor ADU valuations (especially in single family zoned areas) result in hands off ADU additions costing significantly more than the value they add.  

(We're aware of the five year look back period for Medicaid eligibilty but it's not a big factor in our decision to do this.)We would get the house appraised so we can document paying FMV.House would be purchased with cash (it's a small home in a rural area and value is low)Inlaws would sign a lease so that it becomes a legitimate rental and we can deduct expenses, etc.

Thank you thoughCompetitive might have been a poor choice of words at my end.