I'd love to hear more about your experience pooling money and starting an LLC with some friends.

Rents rose and the tenant pool improved as fancy homeowners moved down.

.• On any lot with an existing single-family dwelling unit, where regardless of zoning, the lot has any of the following General Plan Land Use/Transportation designations:- Residential Neighborhood- Mixed-Use Neighborhood- Urban Village or Urban Residential- Transit Residential or Rural Residential- Downtown- Mixed-Use Commercial• On two-family (duplex) lots and on multifamily properties• In a low-density cluster development if it conforms to development standards of the R-1 zoning district, and the development and use standards of the low-density cluster permit.Minimum Lot Size3,000 square feetNo minimum lot sizeMinimum Setbacks from Rear and Side Property Lines0 feet for 1-story conversions and new construction.5 feet for second-story ADUs constructed above a garage or accessory structure.0 feet for 1-story conversions and new construction.4 feet for second-story ADUs constructed above a garage or accessory structure4 feet minimum rear and side setbacks required for detached ADU in multifamily developments.Maximum HeightFor detached ADUs:Single story – 18 feet maximumSecond story – 24 feet maximumAttached ADUs are subject to the height limits of the main home.Single-family properties - No change in height requirements.Multifamily properties - 16 feet maximum height for detached ADUs.Rear Yard CoverageArea covered by the ADU, accessory buildings, and accessory structures, except pools, shall not exceed forty percent (40%) of the rear yard.Area covered shall not exceed forty percent (40%) of the rear yard or up to 800 square feet, whichever is greater.Detached ADU Allowed LocationsRear yard only, at least 6 feet away from primary dwelling.May be attached to a detached garage or other existing accessory structure.Must meet minimum setbacks for an accessory building in accordance with Section 20.30.500.No changes except that ADUs that exceed forty percent (40%) of the rear yard must maintain minimum 4 foot side and rear setbacks.

Hence potential pool of tenants might increase causing more demand for rental property and hence rents would increase correct?

Here some interesting info and numbers about the project.Acquired: Feb 2018Rehab - 2 - 3 months.Listed - May 2018Sold - Sep 2018Purchased - $115,000Financed - $110kRehab - $63k (investor contributoin.Sale Price: $224,900 with seller contribution $6kAfter all expenses Final Profit - $21k  - 33% Highlights - Removed big pool and created big back yard, did major foundation repair to get to tolerance level, removed walls to make the kitchen open, all new flooring, new roof, new appliances and whole shebang. 

Sunny Hande Great question.

Greetings,I am very new to the REI world and trying to learn as much as I can so I can dive into the pool and swim.  

There are regulations regarding advertising, pooling funds,Seek the advice of an attorney. 

I got a car with four wheels and don't mind driving or doing the legwork to help out of state investors analyze a deal :-)Most of what I do is SFR and 2-4 unit residential (as that's where the biggest pool of buyers are).

Side note; trying to collect a pet deposit from 5 year tenants who have already been there with a pet is like trying to stay dry after you jump in the pool.