I’d keep it, do a little cash out refinance if you wanted to regain some of the $, and just rent it out or STR it and make some money on it..Appreciation always goes up, and a few years down the line (and/if interest rates come back down you could pull even more $ out Tax free!)

It is very easy to get google ratings up.

With rising housing costs and mortgage rates, many buyers see ADUs as a way to offset expenses by generating rental income.

I agree, it could be possible but I have yet to see a deal that really works when the borrower is borrowing 100% financing on a deal as the lender is going to have much higher rates and default rates.

Save the cash unless you think a quick spruce-up (paint, minor fixes) could push the short-term rental rate higher.

It really helped us get a better interest rate on the property and typically allowed us to put 10-20% down since we were buying the home to be our primary residence. 

Your lawyer should have told you what the building was zoned/rated for.

maybe they would do a subject to and have you take over their mortgage payments - do they have a good interest rate? 

THat we have seen (but you pay a hefty price to borrow for that type of thing) which is basically borrowing at credit card rates so you need to have a locked in buyer on the back end.Other option is an equity partner as you mention but lets say its worth $750k (not sure value) - maybe get someone to put in 25-50% max. but they will want a considerable portion of the upside and want to see a definitive exit strategy. 

•Look at Rental Absorption Rates:•How many homes like yours were leased in the last 3-6 months?