It's not about the money.

Of course just make sure to check with the town zoning laws on ADU's etc. 

So they would first payoff the first mortgage, if there is a second then $ goes to the second and if anything above that goes to any other lienholders or the homeowner.There are a lot of people who invest in 2nd mortgages because they are cheaper than a first, but in Ohio (not sure all counties) you have to pay off the first at foreclosure so if you do not have the money to pay off the first you are out of luck. 

You have to make a written offer.  

I’ve been exploring buy and hold opportunities in my area, and I recently came across a situation I’d like some advice on.I’ve come across a property in my area that I’m very interested in, but I want to make sure I approach the situation the right way.

Just remember that wholesaling is much tougher than all the gurus make it seem to be, but not impossible at all if you create the right systems and understand, when you are new, that you are solving problems, not throwing cash.

The PM company doesn't really do anything with the 1099s since the rent money doesn't belong to the PM.  

Welcome Nish.You are making a good decision to get into real estate.

If you like the home, area etc, you could refi and pull out the same amount of money.

Collaboration and knowledge exchange are what make this community strong!