If so, the building would not be ADA compliant.  

Hello BP Community,I’m looking for recommendations of contractors in north New Jersey that are HUD compliant.

Might cost a bit in the short term but would limit the downside, keep everyone happy while you get compliant and provide some revenue stability for the property.

However now I am trying to figure out how my single-member LLC #1 can add a new member (my HSA) and be IRS compliant.

@Alex Kohler simple answer is Yes.You can buy up to a 4PLEX with an FHA loan with a 3.5% down and yes need to live in the property..to be completely compliant,.If the other person pays more in rent than your mortgage payments ( including taxes, mortage insurance, property insurance, water, trash, ) then you are cash-flowing...

Etc....So your first call is to the city/county where you are located and just tell them the truth - "I am going to take an existing garage, built in '_____', and convert it into a bedroom' Are you guys at the city ok with that, and/or what do I need to do to be Code Compliant?"

I think its time for me to employ some people who are smarter than me and who can help me run my business and stay compliant. 

For $50 you could put a dual GFCI/AFCI breaker on the circuit, be safer, latest code compliant,  AND save a bucket of money assuming you have the typical 10 outlets per circuit.

In Chicago they put out a free lease that is compliant with all local laws. 

I am thinking to combine two 1st floor units to a large owner unit.2)The property is zoned as 2-6 units..can I convert the building to 6 units later down the road and still be compliant with existing FHA loan or do I have to pay it off and then get a commercial loan?