Sounds like you got a winner there :) We actually just bought a new one last year- amazing location with main house on a great corner, and separately addressed guest house in the back that we rent out.

There is only one entry to the upstairs unit and I would like to replace their stairway and porch.

While it sounds ideal to bring on another lending partner in addition to seller financing - as you can see you have to pay the piper at some point.

@Carlos Ptriawanjust because a person has the letters CPA after their name does not mean they are giving sound financial advice.

I hope your ARV is more than $1.2, but it sounds like you want to use this as a short-term rental. 

@Ryan Jaret it’s unreasonable to pay $600+ for a faucet replacement.

Reading between the lines it doesn't sound like you have a lot of passion for being a housing provider so why not sell it as is before you put any more money into it? 

I am sure if you were going to install a couple of windows they would give the homeowner a permit to do that, but it sounds like you are doing quite a bit more work.Every city and county is a little different.

I just wouldn't cover an unlicensed welder. the guy who you are covering for is the problem. or have him get insurance you can get one time policies. it just sounds complicated I'd pass on deals like this to make a few bucks not worth it 

It sounds like it should be a simple process since there was no income.