@John Chapman"The only way you have to go is up" was not to imply every house you buy will appreciate.

If, on the other hand, you set a goal of having $10k/mo in passive rental income in 5 years, that implies a different path to achieving that goal, one where there is a substantial amount of financing still in place.  

@Jacqueline Burtoni think you're implying that you don't have enough cash to make a down payment on a hard money loan. 

Implying to new investors that all deals work out this well, I believe is harmful to new investors that don't understand all the hidden risks in real estate.

When I started, I would often show my value in responsiveness coupled with the fact I have a top producing broker at my firm that is my direct trainer. 

I swear by real estate trainers here in Santa Ana.

Those things don't imply motivation.

Applying this rationale to the new ADU would imply that the new ADU should not result in the regulation to apply to any aspect of the property for 15 years. 

Does this imply it meets everyone's (or even most people's) view of good place to invest? 

Further these operating agreements can be created without reference, orally, implied, or any combination.