There are many reasons that adding a single ADU in southern CA is a less than ideal RE investment (i will post a list at the end) but the negative initial equity is a primary reason as the initial negative equity position consumes the initial cash flow and can take many years to recover.As for converting your home to a rental….

Same process as always, BG check and proof of income as most of the property owners I deal with require.

I lost over $20k in opportunity costs while my money was tied up (important lesson learned but wouldn't fit below)Lessons learned?

All depends on what your goals are and what market fits your game-plan/criteria 

One size does not fit all and I wouldn't take much stock in any advice stating that housing assistance tenants are better or worse as a whole. 

In 2019 i was at ideal occupancy but none of my STRs are at ideal occupancy today.Do what you want with regard to the number of OTAs, but i plan to never be associated with a single OTA.  

.), it's not ideal.

Ideally they will have a pool of investors looking for a turn-key property. 

@Jeffery Jones As someone who owns 6 single-family homes under the Section 8 program and runs a property management company that manages over 100 Section 8 properties, I’ve learned a lot about the ins and outs of the program—not just the idealized version often shared on social media.If done correctly, Section 8 can be a great way to diversify a portfolio.

but if you have a view on active vs. passive income.my goal is to have income from multiple sources, ideally part time work that i enjoy is a component.