And if in the future you were going to move and do the same thing you could possibly do a reverse exchange and have the 1031 intermediary take title to the house, sell your town home, and build and 1031 into the ADU before you take title and move into the main house. 

We are going to build the magistrate building in the near future as that’s guaranteed cash flow every month for multiple years at a time upwards of $1200 a month.

And yes, RE prices have now dropped dramatically on local vacation rental homes.Your 5-6 bedroom home strategy makes sense and we are currently seeing the highest demand for that home size.

the exact same methodology that gets folks into Amway and other MLM is what the RE guru's use to hook and land RE students ..

But, again, a bumpy start before the road ahead would become smooth.I'll continue this saga in the near future.

For me I was not high income so had to resort to leveraging RE.

You are ignoring appreciation which you may get or not depending on when you sell, plus depreciation write off, and mortgage pay down-your tenant takes care of this.

For future, never close on a property and allow the individual to remain in the propertyI won’t close unless I do an inspection and house is in condition per the offer.

I would also consult a CPA because there are going to be a lot of write offs with it not only being a primary residence, but also collecting rental income.

I would just write it into the lease that lawn maintenance is the responsibility of the lease.