Hello everyone,I'm a real estate agent assisting a client who is trying to list an Accessory Dwelling Unit (ADU) for lease on Zillow.

If the unit is priced right and showable, it will get rented. 

Cap rate doesn't apply to 4 units or less if you are talking about small multis.

For newly constructed, purchased or renovated properties and also retroactive generally over the last 10 years, building components are properly classified into individual units of property and accurate recovery periods for computing depreciation deductions.

@Tom ServerAdding it over existing subfloor will require you to undercut all your doors, and cause havoc throughout the unitYou should replace it as it’s mentioned.Depending on the square footage of the unit not sure if 5k will be enough and assume unit is completely empty of personal belongings and has no flooring in the unit over the subfloor

I'm looking to build 2 sets of one story townhouses with 5 units each so 10 units total, 2BR/2Bath. 

The electrical panel is not too far off so it would be possible to wire in an electric heater I believe.

Few years ago it was a multi-state portfolio spread across 5 states. last year it was  500+ units in Texas and 400+ units in Florida.

Even though I'm a CPA, I personally use turbo tax and I own 20 units.

Money now is better than money then is how I looked at it, and how I was able to justify the move of the money due to building a unit that will add that much more income on my passive income side of real estate.