They are set to close on January 9th and they are through almost all contingencies (selling their current home, inspection/resolution).

If you have an ADU on your property that was built without the required permits or inspections, you now have five years to bring your structure up to code as long as the issues are not related to health and safety.

When I had my inspection, they advised that there was a lot of debris on the roof. 

While I agree with your math, using your example of a 4% gross profit, he would actually keep something closer to 2 1/2 percent or so, net.

@Melissa Dinas if the utilities have been off for a while the utility company may want to perform an inspection before they turn them in.

What I've found is that our local housing authority, does an inspection and then determines how much they will give for the unit in rent.

You might find something closer to your work than the IE for a similar cost - also something I keep my eye on.

No matter how good it looks always get a rent roll, financials and an inspection.

@Anita AhujaI think the rent would be closer to $1350-$1500, but you'd want to verify this with a PM company that is familiar with the area.Yes you can have the tenant pay the utilities.

I do monthly inspections on my places.