Any investors in the Houston area with experience in building an addition for a home to increase square footage and add value?

While I'm not a legal professional, here are some general considerations that might help guide your decision:If there are any legal problems pertaining to the property, an LLC might offer an additional degree of protection for your personal assets.

Additionally they might want owner finance with some down for the business, building, or BOTH. 

In addition to being a college town, the business industry looks positive.

If the in-place rents generate don't generate enough cashflow to cover your debt service, you'll want to plan to bring additional equity to the deal to cover the shortfalls.

Expand your network and explore social media events.

What's your thought on addition?

That'll mean some reasonable additional costs when it comes to set up and maintenance but it's generally the most economical way to own if you buy multiple properties.If that's something you want to explore one day, I have replied to hundreds of posts in the forum regarding purchasing and investing in Mexico.

Tell them when they pay the rent, you need a copy of the utilities bills to ensure they are being paid or as you said you pay and they add it to their rent. 

Additionally, they can know of contractors or be able to offer rough costs for typical improvements.Remember that accurately estimating rehab costs is a skill that improves with experience.