I acquired my first home in Massachusetts, renovated it for myself thinking I would stay for a long time yet ended up moving to WA state.

Neighborhoods like Logan Square or Albany Park have seen growth in rental demand, making them potentially good starting points.

Just need to stat under the occupancy limit.Also keep in mind basement needs to be livable square footage, ie have egress and proper ceiling height. 

The amounts of square footage cover is so low the delta becomes a rounding error. 

small homes don't work. we build a stacked triplex much more affordably. density is key and vertical is the key. use that land cost and fixed costs more efficiently. everything we build for apartments is less than 700 square feet and only 2 beds and all 3 story walk ups and all triplexes. by building codes 4 family is commercial and also becomes cost prohibitive.

So as for Russell who noted his success in the WA DC market ( expensive) I wonder if @Steve K. gets the same for his market in Boulder Co. ( expensive). 

Spanning more than 8,000 square feet, this outlet will feature a large outdoor patio overlooking the Strip and a unique company store selling exclusive merchandise alongside your favorite burgers.

You’re absolutely right—LA is a tough but opportunity-rich market, and I’m putting in the groundwork to make the most of it.While I’m starting local in LA, my focus is expanding across California, Nevada, Arizona, Oregon, and Washington.

It goes over your floorboards.2. use small tiles (1 inch square or smaller) for the floor surface.

Maybe this is neighborhood specific, but most of the SFH within a few square miles of me sell with ADU price per square foot the same as the main house.