This risk here far outweighs any small gains in ranking. 

The agent puts a lot of time into finding and showing you potential properties.

Currently I think 200k being the upper limit of investment makes the most sense and is within my risk tolerance range.

More ADU supply = more comps, potentially higher valuation.   

Authorities are investigating this as a potential terrorist attack.

I'm just trying to get a better sense of what my real risks are? 

Because, the lender is entitled to know what risk they are taking with their money.That being said, on seller financing, if someone gets sued and loses, the lien/judgement can be filed at the county, (it's not automatic, someone has to prepare and send the paperwork) which the bureaus will pick it up on producing a credit report.

This approach will help minimize the potential financial risks associated with renovations and working with contractors.

This aligns with the principle that you earn 10% of the value you create.Hedging Risk Through Long-Term StrategyJust as pension funds mitigate risk by diversifying and committing to long-term growth, this model spreads risk across various income streams and a timeline that prioritizes adaptability and stability.

How do you balance the risks of holding during a market dip versus the rewards of appreciation?