In the case of a house in a flood zone, they will require a flood policy be purchased.The normal policy for a 1-4 family rental is a Dwelling Fire Policy (sometimes called a Landlord or other name by the company). 

The rest of our 50 carriers will not write homeowners or Dwelling Fire for a building with Knob & Tube. 

I read an article stating they approved additional dwelling units (ADU) in Chicago in 12/2020 and they are allowing applications to be submitted in on 5/2021.

This is no different than folks who include illegal additional dwellings as income.

.- Deal Finding: If you bring a good deal or find a good deal then you are instantly adding value.- Niche Knowledge: (STR rules, ADU's, Zoning Expertise, down payment assistance programs, AFH, Opportunity Zones, etc)- Discounting: (If you are new you could always discount your services to add value (reduced commission for brokers, lower management fee, reduced fees for JV's).- Superior Service: Somewhat counterintuitively you can actually add more value despite being new.

There are options like the Detroit Land bank Authority for City of Detroit Multi-family dwellings however as I previously stated you will need local help with this but if you commit it can happen and you can end up with a really great and a significant discount. 

My architect and I sent them over assembly bill No 811 on ADUs and mentioned that the looks to be in violation of the bill quoting the following:"Accessory dwelling units shall not be considered by a local agency, special district, or water corporation to bea new residential use for purposes of calculating connection fees or capacity charges for utilities, including waterand sewer service, unless the accessory dwelling unit was constructed with a new single-family dwelling"They responded saying that this didn't apply to the ADU and quoted the following"(B) For an accessory dwelling unit that is not described in subparagraph (A) of paragraph (1) of subdivision (e), alocal agency, special district, or water corporation may require a new or separate utility connection directlybetween the accessory dwelling unit and the utility.

The ADU is kind of in the name, "accessory" usually means used an accessory to the dwelling occupied by the homeowner.

This isn't directly related to 121, but bears on it.From the Gates conclusion: "If a taxpayer sold some part of the underlying land but not the dwelling that the taxpayer used as a principal residence, the taxpayer could not defer the recognition of gain on the sale because the taxpayer did not sell his or her principal residence. . .If petitioners had sold their old home instead of demolishing it, they would have qualified for the section 121 exclusion.

I'm in Ludlow, VT and found there's a zoom call tonight to go over a bunch of items, to include an update on the rental registry pending regulation. https://vtstra.org/regs My property has an accessory dwelling unit with an established long term tenant which looks like will keep me safe from future push on my STR.