The profile of the typical Houston traveler is someone coming in for work.

In my market the valuation with f/f non commercial financing is typically lower than the hands off cost of adding the ADU.  

This is an Interest only loan product that typically lends at 65% ARV. 

State tax regulations are typically able to be researched by any CPA worth his/her salt. 

Typically, this structuring takes place after the property is purchased.If a Transfer Is Feasible:If you’re comfortable with the property tax increase, the property can be transferred to both daughters, followed by a lease agreement with your father-in-law.

He also struggled to sell a tenant-occupied property because buyers were put off by the condition—it wasn’t anything major, just typical wear and tear from long-term renters.

So, we typically see REP status with MTR and LTRs... but not needed with STRs.

If you're doing a rate and term refinance, there's typically not a seasoning period but again it's common for lenders to require it be rented first.If you're doing a DSCR cash out refi, it may not need to be rented first but you're probably paying a higher rate.Your best option is to call a loan broker you trust and go through the options based on your current situation.

Are you finding motivated sellers via the typical route of using the prominant software platforms like propwire and propstream?

We typically buy and hold but it would depend on the numbers for this project, we'd be open to either BRRR or fix and flip so there's a few possibilities.