Interest income is interest income, unless you decided to roll some of the current cash into a self directed IRA at which point your interest income would be deferred for a later time and allow your funds to grow tax free.

The secondary goal is to increase rental income down the road.

Yes it will have UBIT on the portion of the income pro rata to the mortgage.

It's mostly Class A properties, a few Class B.You may find the below copy & paste info useful in addressing your question:----------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

I would prefer to sell the property vacant or the easiest less stressful way as possible, however I was advised that could deter investors buyers interest as the rental income is a one of my strong selling points.I am open and would appreciate any thoughts and/or suggestions from fellow agents or investors alike.Thanks in advance;)

Your improvement of an ADU unlike those other improvements provides house and substantial additional income compared to other improvements. 

I am just a guy who tends to give illegal advice, I guess.And finally, folks need to be aware that while many travelers pick the nomadic lifestyle for some of the awesome reasons: travel, excitement, variety, some pick it to try and increase their income to a level where they can earn their way out of terrible financial situations or decision making.

Co-living, on the other hand, mitigates this risk by creating multiple income streams.

I have pretty good w2 income so it’s just a matter of sometime before I have cash to buy another.

@Mike ReynoldsRegarding your comment that if you need funds you can use money from your side business:You can't use non-retirement funds to pay for expenses related to real estate held inside you Solo 401k.Subject to the contribution rules and income limitations, you may be able to contribute non-retirement funds to your Solo 401k (e.g. as an employee or employer contribution) and then you could use the funds in your 401k to pay for expenses related to real estate owned by your Solo 401k.