For example, an ADU is nice for a rental, but not every home buyer wants to pay a premium for an ADU on their property.This would be case by case and property dependent.

Buyer beware. 

This amounts to lost opportunity because if you had purchased RE, at the closing it can start producing return. 5) ADUs detract from the existing structure whether this is privacy, a garage, or just yard space. 6) this is related to number 1, but there are many more buyers looking to purchase homes for their family than there are RE investors looking to purchase small unit count properties.

For those buyers it's called "parking their money".

I hired my own expert and discovered these issues did not exist but that the expert the 3 buyers had brought in wanted to be hired to do the work so they blew them out of proportion.

This is what the buyer said.1: We agree to sign a deed in lieu at closing.

By the way - for the same reason the 1st position lien holder will be uneasy with 100% CLTV, as a buyer I would be uneasy with it as well.

It can help keep things straight, and it would look more legitimate to lenders, buyers, investors etc.

@Jerry Shen I apologize if this is a repeat of info or if it constitutes an "application" that you don't trust, but your thread prompted me to locate Propy.com, whose website says "Propy allows buyers, sellers, brokers, and escrow/title agents/notaries to come together through the utilization of a suite of smart contracts on blockchain to facilitate transactions." 

We managed to bring the property down in price, overcome objections, and navigate the eviction battle, and in the end, it paid off.The key takeaway here is that if you’re a true cash buyer who can work with private lenders, you can survive long, drawn-out processes like this.