Some of the heavy hitters here in Chicago discussed the ADU program with a very nice person from the building department.

but i also 2nd @Jay Hurst's sentiments - get a 2nd or even 3rd opinion on DTI/ full doc. i personally love files that are puzzles, i get some weird satisfaction out of figuring out how to make it work on full-doc, especially when my client has been told "no" before. if it doesn't work now, a good loan professional will help you create a path forward.

Have you calculated what your (monthly nut) is you need to survive business wise and personally?

Do you think it's common for a tenant to sue for an amount greater than insurance can cover, then take your property or even your personal assets? 

I personally know of top 1% Airbnb homeowners that are flushed.

Gator most of the risk is on the person providing the earnest money.

The Landlord will verify that the rental is empty of all personal belongings and trash and that there is no damage beyond ordinary wear and tear. 

We recently relocated to Phoenix last summer and I'm starting to look for recommendations for local credit unions here in Phoenix which are trustworthy, low rates, personal touch, easy/simple to work with, etc. 

Did you give her written permission to store personal items outside in a common area?

I am personally very bullish on the Phoenix market.