Do you mind if I ask where the property is located/what the current zoning is?

Ezekiel,There are more than a few but FL, AL, TN, NH depends on your comfort zone and if your using a Management-Co. or self managing. 

Not saying this is the case, but I've seen countless times where home inspectors go well outside of their knowledge zone and make fear-mongering statements (ie especially for structural "issues" and roof lifespan).

They are the key - since you are overseas you may want to find one who can handle a lot of the tasks like collateral storage as wellOther team members are an attorney, preservation company, reo asset company in case it ever went delinquent.I run my business from my home and have ran it from overseas when on vacationsOnly obstacle really is the time zones

It's possible to have a legal basement unit, but usually basement units are not legal units so I'd strongly urge you to ask the building department (NOT tax assessor) the number of legal units on that property, if possible get a zoning certificate confirming that number, etc.

I have a property I'm looking to close on soon in the Denver area that is listed in a SFH zoning area.

I used to allow two-year leases until I discovered about 80% of them were breaking the lease early, some in less than one year.Finally, requests like this are a red flag for me.

Still, you will find that most municipalities won't allow this, no matter what you call it.You will be fighting an already lost battle from the purchase of said land if it is not already zoned MHP.

So if a handy man works for a co and sees X limit on 100% of the WO's for years and then yours rolls through with a differnet number, there is potential for an issue.Best to just find a manager that works within your comfort zone.  

That is a big red flag.