When it relates to catastrophic weather event (wind, hail, etc.)

We have the outdoor life that people envision with Colorado - and WAY better weather than the front range of the Rockies (Denver, etc.). 

Real estate has weathered price declines before, and a price decrease does not mean crash.  

Unless you have a roadmap you feel confident about it's difficult to proceed with the kind of confidence you need to take calculated risk.I would also agree very much with @Bjorn Ahlblad right now if you are purchasing a new investment and we are recession bound you want to have plenty of cash on hand to weather the storm the last thing you need when you get going is to walk into a foreclosure situation.Personally I have put the brakes on BRRRing for now until the 15% unemployment surge plays out because I do not want to rely on properties increasing, the next 3 - 6 months could get rocky in the SFR sector and I want to be well positioned to take advantage of any downturns. 

While I live in CA I don't practice here (weather is great, investments are not).  

Then check to make sure there are not local requirements forcing you to provide that service (weatherization?) 

It had been quite a roller coaster over these few years but I do not regret it.I got into my first heavy rehab and it turned out that I bit off more than I could chew at the time, but I am weathering it out and will still manage to make something out of it.

Do you have to provide them with any information related to the newly build ADU, you said no appraisal no documents, but they still need to know some details about the size of the ADU weather or not the house and the ADU are rented, may be leases I imagine?  

Forecasting CoC return conservatively at 15% based on comps but thinking it could be closer to 20% on the high end. 

You could have multiple properties with damage from one weather incident.