The country simply does not have enough affordable housing units, and the new supply of affordable housing units is not keeping up with new demand.

Let's say there's 3 properties in a 1-mile radius with 5b/3b, but one is a foreclosure and the other 2 are regular conventional sales.If you're doing a comp for your subject (4th) property, do you have to take the foreclosure one into consideration?

If you don't flip, these guys are usually in the appropriate isles at Home Depot with the carts of supplies or just hang around the commercial check out.

Might be an additional cost there.If units are updated, capex items look good, leases and tenants look solid, and there are no other regular expenses besides the 5200 in insurance/property taxes then I like this deal.  

Supply and Demand: When buyers outnumber sellers, prices and rents rise.Population Growth: Cities with significant and sustained population increases are more likely to see long-term rent growth.Job Stability and GrowthA property’s value is tied to the jobs in the area.

There’s just not enough ADU supply (IN MY AREA) for appraisers to base off of.

As Mitch pointed to, on one hand, STRs are housing supply locally and will likely get looked at. 

And that's not even taking into account the regular tenant BS.

I fire clients regularly. 

They were recommended to me by a local lender that I work with regularly.