Supply and demand drive prices for ALL things real estate, and demand for refinances is ridiculously high right now (partially, but not entirely, offsetting the T-note having it's bottom drop off), probably going to be increasing in the short term.

Doesn't always directly reflect to the 15/30 yr fixed mortgages though since that's based on the 10/30 treasury yields and demand of new mortgages/refinances etc. 

I agree with Scott Mac that your interior has to be up to the standard of the others to demand common rent. 

You'll have to run a test ad and see what the demand even is in this location and at what price point.

In no particular order I have listed some of the most popular markets for out of state investorsCincinnati, OhioDayton, OhioToledo, OhioYoungstown, OhioCincinnati, OhioMemphis, TennesseeSaint Louis, MissouriIndianapolis, IndianaDetroit, MichiganErie, PennsylvaniaLouisville, KentuckyMilwaukee, WisconsinJackson, MississippiEach of these markets is popular with turnkey investors because of the low barrier to entry, high rental demand & high rent to price ratio.

Sending out Loan Mods but never following up and explaining the terms to the borrowersSending out the Loan Mods via most expensive overnight courier and charging you for itTaking 2 months to get out a demand letterOn "Client Managed" loans, emailing you to tell the borrower to send checks to their new address, even though they are charging $55/mthCharging for Payoff statements and other items on loans in Foreclosure that are Client Managed, whereby they do absolutely nothing and still charge $40/mthIssuing incorrect 1099's where interest from the year before was included.  

We came across a news article about the owner being charged with animal cruelty for killing his dog by tieing him up in the basement and letting him starve to death.

As demand continues to outweigh the supply the rental costs do not seem to be levelling off anytime soon.

Yea when I ran the numbers on my property the costs per month are higher than the mortgage so it doesn’t make as much sense for an investor to buy it, unless for the appreciation over time as more of these ADU properties are built and sold as as demand for housing only increases in LA/california over time.

As others have mentioned, as long as the demand is strong (which it seems like it is), I wouldn't hesitate.