.- Diagram upcoming flips, with costs and days, so that when we can start again, the plan is ready.- Check back in with any seller who rejected our offer to tell them we are still interested if they did not make a sale.

On the diagram above he owns        10% of the HOlding llc, which own 100% of the mgt llc. and yes, the mngt llc does collect rent.--- If and when I have to bring in a partner, we will form a new llc on which they will own x% and my holding llc will own y%.Again, I am bringing him on just to be a multi member and have to fill a return on the holding llc.

@Andy Crawford - some diagrams to help you visualize answers in your quest:

Any technical details about how it was fixed - diagrams etc? 

To qualify to also need to “material participation” rule which is basically the 750 hoursThat’s the basics of it from memory (I have spreadsheets for this nowadays).

Without going to the actual regulation and therefore only going from memory, I believe a JADU can only have 150’ of new construction. 

We went this route mainly for the interest rate: if memory serves HELOCs seemed to be a full interest rate point (4.7% and up) and that made a significant difference in the whether the property would cash flow, break even or possibly lose money.

Likely to appreciate - Unless the price and rent increase at or above the rate of inflation, your present value return and income are actually declining.Located in an area where you can make money and business risks are low.Below is a diagram showing the process I would follow:There are a lot of topics covered in the above diagram that it’s impossible to discuss them all here.

If memory serves getting approved can be a pain but it may be of benefit to you and it will open you up to a new market segment of renters.  

That's distant memory.