(A) For an accessory dwelling unit described in subparagraph (A) of paragraph (1) of subdivision (e), a local agency, special district, or water corporation shall not require the applicant to install a new or separate utility connection directly between the accessory dwelling unit and the utility or impose a related connection fee or capacity charge, unless the accessory dwelling unit was constructed with a new single-family dwelling. home."

In my first contact with him (via email most likely) should I bring up wanting to purchase his home ?

I'm a licensed builder and have been actively building and renovating homes as my primary occupation while dabbling in the RE space buying properties, fixing them up and flipping/holding.

Armando - A few questions I would ask are:- I've seen banks typically use 5% for vacancy factor- Are you self-managing?

Ultimately he will sell his current primary residence and then move into this new home. 

As for the HELOC, the more I research the more it matches your comment regarding using it for home improvements / flips so I may sit on that for a little bit until I educate myself further on those topics.As for raising capital, I have read the private lenders are a popular way and hard money loans which I do not fully understand yet.

This guy tried to rehab his own home and hired someone to begin the demo. 

It just adds another layer of complexity to the process, it will hurt part-time agents and drive many out of business, which is frankly not a bad thing.Buyer-side commission is now no longer set as a typically uniform percentage on MLS and fully negotiable. 

For me, when I get home I may do a more detailed reply via my laptop. 

Purchase price: $223,500 Cash invested: $61,825 Sale price: $285,000 We purchased a 3 bedroom 2 bathroom Single Family home and barely broke even after the remodel.