For out of state folks who are not familiar with Texas HELOC rules, we have a regulation where your CLTVon your home cannot exceed 80%, meaning that today if I wanted to take out a HELOC on my home, I would only be given access to 3% of the equity (a disappointing $6000-ish).

For example, if you plan to do some of the management when you return you might want an eRentalLock or something so you can remotely grant access contractors.

Not all lenders follow every Fannie guideline, some are more restrictive, for example some may have overlays that say "ADUs are considered 2nd units."

These loans are not sold on the secondary market, so they tend to have fewer restrictions.

That way the tenant knows all the ins and outs from quiet hours, bbq restrictions, parking, pets, and more...But check with a professional or your NY rules if you have specific questions about your situation.Best of luck!

I am based out of California but have access to lawyer networks.

I have definitely considered doing this myself, but will probably just immediately sell my first few deals to get access to capital to get into larger deals, or just more single-families simultaneously.

There are certainly some inexpensive parcels around here, but nothing with decent access visibility for a SS business.

Your first couple weeks you meet up with a trainer to learn contracts , system access , etc.

Having quick access to cash will also be very helpful particularly on more competitive/desirable properties.