With the right layout most people will deal with this regulation by having roommates, who while they may have run of the house in theory, stay within their area, even if it isn't a legally defined unit.

Hopefully completing your goals will help to define your answer to this question more clearly.

The problem is you don't know what you don't know until you have the property inspected to determine the current condition and life expectancy of all major components and appliances. 

Let the great cashflow vs appreciation battle begin...My opinion is to define your goals first.

While it is not defined, the common understanding is that having one rental property is not enough to pass this test.

To sum it up, it’s all about the relationship, and two key components to a successful relationship is reliability a

However, it wasn't clear if that was only for tenants on a month-to-month lease without a defined lease termination date (which is what our leases are based on).I would certainly appreciate any insight on legal requirements surrounding notice period on raising rents in Colorado.

Think through how you go about defining capital expenditure vs repair, as this may come to bite you taking all as capital expenses (depreciation recapture upon sale, whereas repairs have no recapture).

It will depend on the current condition and life expectancy of the property's major components and appliances. 

This is an industry where creativity is a key component in all aspects of how you approach your business.