So for the Comps you make to arrive at your ARV something that jumped out at me was the adjustments.

The problem now is that if you're looking to do a cash out re-fi (e.g. as part of a BRRRR strategy involving the development of ADU's), there typically are no comps for an SFR + ADU + JADU, so an appraiser makes adjustments to SFR comps and gives very little value to the ADU's. 

The fire prevention policies were different, more aggressive, so far less imperative reasons to sway away from a then amply supplied and I imagine price adjusted material of shake vs fire resilient material. 

The moisture issue and structural issue need to be addressed and you can do so before the insurance adjuster comes out.

You can adjust the amounts as needed.

Had several challenges with their bookkeeping after I had to make an adjustment to one of my monthly payments.

However, if you bought it and managed it as a market rate apartment, your experience would be very different.My point is, I can control how fast a unit turns simply by adjusting my asking rents.  

So I would encourage you to adjust your expectations starting out and develop the discipline of saving money so that every month your net worth is higher than the month before.

A lot of structures go up because the intense radiant heat from the wildfire ignites contents inside the home through the windows, or the embers enter the attics and crawl spaces through the vents--so just building from block won't be a cure.  

This is just one example but without some intense research online you may not learn this, but by speaking with someone very knowledgeable in your chosen areas you not only save time but may find even better opportunities.Best of luck!