Quote from @Justin Brin: I created a heat map showing the population changes in each state over the past five years (2020–2024).The states experiencing the largest population increases are Florida, Texas, Utah, Arizona, and South Carolina.

Personally, I’ve been exploring opportunities where growth patterns and infrastructure expansion hint at future value increases.

Many of these areas also benefit from both rising home values and increasing rents.Ultimately, successful investing comes down to selecting a growing market, a strong neighborhood, and building a reliable team to support you.

If the zoning map was altered where all 2-4 units were now RT-4 then developers couldn't just tear them down to make SFH and building owners wouldn't need to fight the city to increase density. 

But ...The first thing I observed was the replacement cost portion of the quote, was, IMO, less than what it will actually cost to demolish the remains of the existing structure, pay for any hazardous waste removal following a catastrophic loss, and actually pay to replace the property in the event of a total loss, even though I used the quote feature to increase the replacement cost value by 20% (the maximum it would allow).

A garage conversion, however, may not be subject to the same level of scrutiny.Parking Considerations – Parking is becoming increasingly valuable, especially with the rise of high-density micro-units that often lack designated parking.

This will increase the return above what can be obtained on a passive investment.The flipside of having the power to control everything is that it can be alot of work (and a full-time job if a person is putting in sweat equity).

My recommendation would be to choose potential markets - in several price points - that have strong rental demand and year-over-year rent increases and that also are in markets that are appreciating. 

If the market in your area is trending upward, waiting a little longer could also help increase the appraised value.

I'd find this out.This would be a deal breaker if the city doesn't at leave put in writing that you can legally put in a bigger Septic tank to accommodate the bedrooms that have been added.Also was the increase in house size done legally since they weren't required to upsize the septic tank?