The tenant would have their own private entrance (rear of the house), parking (1 spot in driveway + road parking also available for guests and whatnot), their own laundry, as well as their own outdoor patio area in the backyard.

The property is located in Arvada, Colorado (80005 zip code)The property will need the following:-Replace the front porch-Replace the rear patio-Replace patio doors (2x)-Replace rear steps to open space-Add fencing-Add egress window-Replace the water heater -Electrical box workAs I said, we are ready to get this property up and going as soon as we get the keys to it and we would greatly appreciate any recommendations for a GC to work with us on this property and the next ones we are in the process of purchasing! 

My friend that had the con-artists for guests, had security cameras installed in the living room and patio areas.

And you'll pay ordinary income tax plus probably self employment tax.it might be worth your while to move your timeline out a year or so and hold with then intent of using for productive use. 

Purchase price: $125,000 Cash invested: $60,000 2 bed 1 bath home with a rooftop patio

@Irving FrancoThat’s a cpa question but because the loss I believe is ordinary income passive losses cannot be used to offset it

Sch 8825 for passive, then ordinary/self employment income seperate. 

The house is roughly 4000 ft.² it has an updated outdoor kitchen patio deck and a stone fence wall in the front.

After this you remove the mortgage amount and then capital expenditure because these aren't ordinary expenses.

At 59 1/2 I have to start pulling that money out as ordinary income for which I pay a lot of taxes.