The typical term of this loan is 12 months and rates range from 10%-12%.

Typically max leverage is 70CLTV - very higher Prepayment penalties and be ready for rates north of 12% - I answer this question all the time.

Older homes will typically have systems that are out of date - even if only partially. 

I know DSCR lenders typically don't touch them.

Typically, we conduct background checks on only the individuals who are responsible for the lease (primary resident) and/or cosigners.

In southern CA, even garage conversion ADU additions are typically costing more than the value added.  

The typical income from a free and clear rental would probably be $800-1500/month - and on a financed rental probably $300/month on a good day in today’s market.  

You can use a tool like AirDNA to get estimates of property performance in your specific market and with your typical size and configuration of home.

It's people who understand that it takes effort to become successful, typically from CA at this point, and have a way of showing those characteristics, do best.

A lawyer might be able to answer this better, but most rentals fall under fair housing laws (there are exceptions) and that protects against discrimination based on familial status which means children or someone who is pregnant.