BUT, I’ve always had the underlying opinion that owning real estate means you are participating in a regulated industry.

Hard money lenders who an invest on non-owner occupant properties have few regulations, as soon as its an owner occupant property they are allowed to do a few a year before needing to become a fully licensed lender.

The state of Connecticut has zero regulation when it comes to who can become a licensed GC.

If you are raising money from passive investors and promising a return for their investment, this is considered offering a security and is regulated by the SEC.  

When directors or shareholders or regulators demand a decrease in risk, exposure to investment properties are a logical place to start.... which is another reason I doubled down on mortgaging everything I can (meaning, not HELOCs - actual mortgages) and building a bond arbitrage portfolio so money that I'm not using is earning about the same amount at the mortgage interest is costing me. 

There are way more rules and regulations of having a building and renting out per room.

If you’re curious, look up adverse possession regulations in your state so you’ll know what kind of situation your neighbor is in.

I would check with your local municipality. guidelines first to make sure you're not violating any new regulations. 

There are federal regulations that need to be met when you are handling it.

I had read in Oakland's HBX zone regulations manual for a dwelling unit there is a minimum 930 sf of lot area per unit however what happens when the lot is less than that?