3.Draft a written agreement where the property owner retains full ownership of all guest funds (nightly rates, cleaning fees, and taxes), while the cohost invoices for management fees and reimbursable expenses?

Perhaps refinish existing wood floors rather than install new LVP to save money.

I have a DADU over my detached garage that my daughter used to live in, but now she is out on her own so if I want to do a more major renovation (need to refinish the floors and maybe open up the kitchen more), I can move into the DADU as well.

Painting has started on the interior (Benjamin Moore - Smoke Embers in case you were curious), as has flooring and lighting.

Their previous lease includes a portion of storage in the basement with laundry access(also in basement).Current set up: tenant occupies floor #2 with separate access to the basement for their laundry and storage.Future plan: reno basement and remove storage/laundry access for tenant.

The deal was contingent upon 60 day due diligence and a clean Phase 1 environmental assessment.

Very clean format. 

My local Airbnb rep said the algo does consider cleaning fee too so try to be lower or even with your competition. 

Or are they moving out when the cleaning is complete?

@Jason Tucker  you need to add in your utilities, common area cleaning, and turnover costs to determine if it makes sense.