I don’t believe the scenario you proposed, which is renters in rooms in the house and you in the in-law, would technically be a legal use of the in-law.It probably wouldn’t matter but in theory if you had any problems with neighbors they could complain to the town and the town could issue a violation and you would have to stop that use.

So long as the rent is equal to or up to 15% higher than the proposed PITI mortgage payment, then you are good to go.

@Evan LoaderThe proposed legislation is problematic, to be sure.  

I'm trying to understand this a bit better, hence the reason for the thread, to weigh in my proposed method versus your proposed method. 

@John Underwood These are my thoughts and commentary based on the proposals in the tax bill.

Also any helpful hints on what to look for in proposals from architects and engineers would be greatly appreciated.

I think your proposal for splitting profits makes sense, but I would define a time period and write up a contract.

>>Actually, Basit, a DSCR [debt service coverage ratio] loan relies solely on the subject property being able to support itself; that is, does the cash flow support the proposed mortgage payment? 

We proposed to replace the fence between our two properties.

You start dating, all is well, then just when you propose she starts to nitpick you about everything. 🚩🚩🚩 Walk away and don’t look back.