It is located in an area that attracts college students/employees, working class families, and military families.

We don't believe in co-signing for anyone.My main question is, as my wife is a remainderman, will she be giving permission for her mother to get the loan or will she be co-signing the loan?

If the deal is in a good area, well taken care of, generates income, and will attract good tenants then i wouldnt worry about anything else.

I would for sure want to cancel the sale, my main concern would be them trying to force the sale oppose to not getting my $1k deposit back.

I was looking at an attractive rental but it looks like the land value is 75+% of the value, so I would be paying a ton get very little tax benefit. 

The main risks I would say to watch out for are any family dynamic issues that could arise as things like this could lead to issues that didn't exist previously.

Quote from @Franklin Marquette: When building ADUs, do they generally create value uplift for the property in the same way that the main house is valued?

Investors here consistently see properties that have cash flow from day one, and the barrier to entry is much lower than in California.From a tax and landlord standpoint, Tennessee is also attractive.

Investors should keep an eye on its growing infrastructure and amenities.Huntersville: A family-friendly suburb with excellent schools and amenities, Huntersville is a solid choice for long-term appreciation.Davidson: A charming college town, Davidson offers steady appreciation and attracts higher-income tenants.Belmont: This small town near Charlotte offers more appreciation potential than cash flow, driven by its desirability and quaint atmosphere.Neighborhoods Offering Both Cash Flow & AppreciationConcord: A tricky yet rewarding market, Concord can provide both cash flow and appreciation.

Position these as limited-time deals to attract budget-conscious travelers.Be Responsive and Personable: Guests often book based on their interaction with a host.