This post is NOT meant to be an "end all be all", but simply a jumping off point for newcomers who are theory educated and NOT experienced educated (like me) to best determine what they would like to focus in.

Sean,In my area that would be referred to as a "rooming house" and there are specific bylaws at the municipal level governing them: they can only be in certain areas and require a zoning designation / permit to allow occupancy that exceeds another local bylaw limiting the number of "boarders" in a single dwelling to three.As far as rental laws, check with your state's Residential Tenancies Act (or equivalent).

To give you an idea of what this means, there are 40,000 concealed weapons permits in California.

I have a Florida Concealed Weapons Permit.

I have seen some buy a decent home only to be told to tear it down as the density laws does not allow for a building to exist on that property even though the building was basically ok, they could not get the needed permits to upgrade the plumbing and electric.

Has the seller admited they did the work without permits?

I see a lot of these signs in my area just because someone built an addition without pulling a permit and then got turned in by a neighbor.Either way you need to write down addresses of places like that and go online to your counties tax assessor website to see who owns that property.Jeff

This is likely to be a job that requires permits.

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