The seller (also the landlord in your scenario) will also want to get a security deposit, which is refundable, and typical.In these types of deals, the buyer often doesn't have the cash for the down payment.

Cash-out refinance a large chunk but leave enough equity so the property stays profitable as an Airbnb?

Use cash and think if you really need it before buying something. 

Im certainly not an expert in the Smokies other than a semi frequent guest - but if you have the cash I would think anything north of 10% is a good way to go. 

The reason why I would personally place Columbus Ohio in the #1 spot is because you can still find positive cash flow, the 1% rule, and you get amazing appreciation potential.

If you take care of this is your cash flow and appreciation going to be much better long run? 

I could see the bank wanting the ADU back if they feel the ADU was supporting the appraisal.  

We are not first time home buyers but have three single family homes ( rental) properties in California but want to buy our first apartment complex out of state for generating  cash flow for the long term.

If you're looking for an investment property that will cash-flow and appreciate I think Columbus is a great market to be in.

Purchase price: $293,000 Cash invested: $135,000 Bought this single family house, and I am currently in the process of renovating it.