They're not going to add much cost to the permit and you want to make sure everything you do is up to code.

Rental property is extremely tax advantaged based on the current tax code.

Quote from @Hector Espinosa: Hi,I'm negotiating a seller financing deal which may be my first one and would like to ask for some advise about and what are advantages and disadvantages about seller financing deals.These are the seller financing terms:House Price: $330,000.00 USD​ (Sellers still owe ~$301,000 USD)Down Payment: 5% = $16,500 USD​Loan Amount: $313, 500​ (Monthly payments will be amortized as a 30 years loan​)Interest Rate: 4.531%Balloon Loan Term: 5 YearsMonthly Payment (P&I): $1,594.24​Closing Costs:  ~$3300 ​Zip Code: 74105Observations:       * HVAC requires an update but pending to inspection (replacing with a new one will cost ~$10,000 - $15,000 USD )     * Expected Rent Income: $2,000- $2,300 but this is has been really complicated to get a good estimate because is all over the place in the different sites I have checked

Essentially, a 1031 exchange is that neat little trick in the U.S. tax code letting you swap out one investment property for another “like-kind” property, all without taking a tax hit upfront.

All the bylaws, building codes and fire codes can be found on the city website.

My property is in the Homewood/Vestavia area...35216 area code.

The local law says that the non owner occupied property being rented will need a designated host that may or may not be the owner however that other line item in the code that stipulates that the host must be available within 30 min driving while the unit is occupied becomes the dealbreaker.

I searched Redfin by random target zip codes, even in those states where median house prices are relatively high, and still was able to find scores of properties listed on MLS for less than $50,000.

small homes don't work. we build a stacked triplex much more affordably. density is key and vertical is the key. use that land cost and fixed costs more efficiently. everything we build for apartments is less than 700 square feet and only 2 beds and all 3 story walk ups and all triplexes. by building codes 4 family is commercial and also becomes cost prohibitive.

I am thinking I'll have to set aside expenses to redo the wiring, plumbing, etc and bring them upto code.