We’re going through the written appraisal and there are many errors (for example it says there’s only one attic with a scuttle entrance when there are two attics and each has pull down stairs).

There are indicators that a unit may be non-legal such as utility metering is not separate, low ceiling height (below 7'), one entrance/exit with no egress window.2) General advice for the Chicago market is to get specific & define what you want and be prepared to pull the trigger quickly because the attractive properties get snapped up fast.3) House hacking is a very viable and attractive option for getting a property with 0-5% down.

I just bought land near the north side entrance of Joshua Tree National park, 29 palms area..

Only thought- could you combine entrance for both units?

From my experience with MTR in this market, it seems as if most all are looking for a private entrance. 

If you've sealed up any mouse hole entrances with steel wool and spray foam, laid down traps then its time to tell the tenant in writing that if they don't stop leaving out snacks for the mice they'll be asked to leave. 4 grand is crazy, you're problem is the tenant. 

It seems like a fairly lucrative strategy if you get certain factors correct (location, amenities, layout, separate entrance, parking, etc, etc, etc).

:Nicely done, what I personally would do is to add more light to the house interior Interesting since I added 4 can lights in the hallway and entrance that didn't have but one wall sconce.

I want to just close off the back 3 bedrooms (using a solid door with two sided deadbolt locks )from the rest of the house, turn a window into a door so they have their own separate entrance, and rent that space as a studio unit.

Because I was planning on adding a separate entrance to the basement (SDU) my contactor also demo'd the stairs (from the main house to the basements) and in the place of stairs we created a laundry room, because the W/D needed to be added to the main house as well.