Here is a list of what adding ADUs in my CA market is typically a poor RE investment:1) The value added by the ADU addition is often significantly less than the cost of adding the ADU.

I claimed for years 1) initial cash flow and cash flow over a long hold have a poor coupling 2) that I would purchase a property with negative initial cash flow.  3) I cared about total return and did not give a $hit about cash flow if the other returns produce an outstanding return 4) that cash flow is my least favorite return because it gets taxed annually. 

(Tunnel holes in insulation and droppings).

After some research, I've come up with the following:- Blown-in insulation to fill the joists with hard-packed cellulose- Add asphalt panel board layer across the entire ceiling to the existing drywall and fill the cutouts. - Add a second layer of 5/8's drywall to the asphalt board. 

I am not currently using a property manager, so any other extra insulating layer that I can get is useful to me.  

If there are significant developments planned in the area, such as big companies opening, new apartment complexes, hospitals, or malls, it could actually be a brilliant idea to buy properties, even if there’s currently no cash flow.Just something to think about before dismissing it as a poor investment to hold onto.

Poor wording in the original post.I emailed the CPA and said that the advise does not seem to be correct and received the following response:"Forming an LLC alone doesn't automatically turn passive losses into active losses.

They are definitely that type - their excuses are always poorly-reasoned, convenient, and kind of dismissive to be honest.

Aloha,Poorly maintained tanks, and especially tanks in an environment that creates excessive condensation on the exterior of the tank, often drip onto the floor, damaging floorcoverings and underlying typical subfloors or hardwood flooring.

I always recommend the book “Rich dad, Poor dad” by Robert T.