Then your sale will be for $450K ish (you do subtract closing costs). 

This amounts to lost opportunity because if you had purchased RE, at the closing it can start producing return. 5) ADUs detract from the existing structure whether this is privacy, a garage, or just yard space. 6) this is related to number 1, but there are many more buyers looking to purchase homes for their family than there are RE investors looking to purchase small unit count properties.

Account for all costs, including closing fees, holding costs, and repairs.

I am looking to partner with a close friend of mine (we've worked together many times before with both of us in various roles) to primarily do rehabs for LTR and/or resale.

Quote from @Account Closed: Honestly have no clue, but my guess would be contact a lawyer who specializes in real estate.I am also trying to get a hold of other wholesalers in my area and real estate agents.

I have focused my research on house hacking due to the lower upfront capital requirements with an FHA loan.

I prefer to stay further from the coast and hopefully further from major storm/flooding events (potentially lower insurance costs).  

Close friends?

I'm offering $115K cash and can close as fast at the inspections and title work can be done. 

To this day, I still use the BiggerPockets Calculator for everything from 2-4 unit properties all the way up to the 224-unit portfolio we're working on closing this February.