In order to execute effectively, operators will want to validate the path to permit is strait forward and reliable at closing or within 30 days of closing.

remember your first home is not your forever home, it's your first rental so it doesn't need to be everything you want.look for homes where the bones are good, but cosmetically needs love. don't by pre 1960 if you can help it. you'll end up just having to replace all the guts like plumbing and electrical at some point. it's inevitable. look in areas where the path of growth is headed, but might not be currently. think 5 years out. look for resources like your local chamber of commerce to see what businesses are coming in and where. your city planning office should also be on your call list as they can help show where most permits are being pulled for development. follow the money. go to local investing meetups. crowdsource local knowledge and form meaningful relationships. those who've gone before you typically will help out and help you avoid the mistakes they've already made. onward.

I assume you have the foundation permit/plan and can provide that to them to bid, so you just need to send it over and have them provide SOW and pricing. 

Thanks for your time.you will need to see if they received a special exemption or permit to run it as a duplex.

The reason this is permitted is because the value of the property is included in my estate and will be taxed (possibly) through my estate, so the heirs receive the step-up in basis.

If that is what they are telling you, then I would research it further, it necessarily may not need to be torn down but it may not be able to be used for residential use, but typically you can also get special exemptions/permits too

There are provisions for owner-occupied and non-owner occupied STRs in Sacramento : https://www.cityofsacramento.gov/finance/revenue/short-term-...The latter requires a conditional use permit but I don't see any info about that in the website.

-You can also pull public OPRA request to see any open permits. 

You're talking needing plans, architect drawings, engineering study, a zillion permits and inspections.I just don't see a lender lending on this kind of deal without that person having major experience that includes some ground up or extensive rehab work.If you wanna "break in" to the financing world, it is not impossible at all. 

The main issue with Pasadena is the high price of entry and long timelines for Building and safety permits.