A realtor’s contract is set up to protect you against lawsuits.

@Max Servais if this will be your primary residence, you will need to insure this with a Homeowners policy. 

A way to protect against this is to stagger the new leases / rent increases. 5.

In advance I'm sure people will ask why I would have it under an LLC for my first property, of course liability protection but the main reason is Taxes, I'm not trying to have the added income from the property be on my personal tax returns.

Happy to share experience along with do's and don'ts to make sure your money is protected.

It’s similar to a triplex in that you’re renting three units, however it is a single family residence with an ADU...three leases in place does not change that.

Hard to argue selling the home and not having to worry about the gain.You can use 1/2 the funds towards your down payment of a personal residence and then still have enough funds to maybe buy 2-3 investment properties.

After that time and loan paydown, I will either sell 1 or 2 of the properties and use the proceeds as a large down payment on my primary residence.

To protect yourself, consider covering the electric for now, keeping a record of any payments, and adding them to the total owed when you file for eviction.

Details2,819 SF, single family residence, 4 bedroom, 3 bath house, with a poolThe house is in a very desirable location.Market Value - $950,000Mortgage Balance - $226,137 (10 years left)Martgage Payment - $2,250/moInterest Rate – 3.5% Average Rental comps - $4,430/mo (looking at the comps I think it is above average)It certainly looks like it would cash flow, but that leaves buying a new house with a small downpayment and high interest rate.