Again, these fees are charged and paid to the lender to complete and fund the mortgage.Third partyclosing costs include title company fees - including the actual title policy, escrow or closing fee, tax certification, and other title fees; governmental charges – including recording charges, intangible, and transfer taxes (depending on your state).

@Saurabh Kukreja it all depends on what your goals are.

I live in Clermont and depending on where you are looking $200 will be pretty tough to find at all.

Depending on where you are looking, inventory for 1-4 units can be a challenge as a lot of the NW suburbs are all single family homes unless you are further NW like Rockford or Elgin or something like that. 

Being from Phila, I can tell you that this can be a great or horrible market to invest in - all depends on LOCATION!

Costs may disqualify the opportunity even though in theory it can be converted.I believe its important to set expectations and if this is an 8 bedroom RSA5 home just as an example you very well could be looking at a building that's obsolete and again even if it is RM1, depending on the costs of the conversion, still potentially obsolete.

As far as the size I think it would depend on the space. 

If its rate, then that looks way off, DSCR rates should be in the same neighboorhood, like .5%-1% higher depending on some prepay stuff

Depends on how old they are - kind of hard to tell from your picture.

ADUs seem to be really popular in California, depending on location.