There was a big change in second homes, but most likely is that rates are up substantially in last month.

My cost to get there is substantially lower (almost non-existent by comparison) too.

Appraisers do consider rental income when determining the value of the property, but a month is not nearly substantial enough to account for.

We have a ton of data on single family home buyers (and prospective single family home buyers), but nothing on apartment dwellers.I've reached out to the state housing authority, but if anyone has data (even anectodical is fine) or good resources, it would be appreciated.I'm hesitant to use nationwide, or even statewide data, because the majority of apartments are in the urban core, and I feel our demographics may be substantially different since we are an hour outside the urban core.

Meanwhile prices have gone up substantially and now the quotes to build this small dwelling are 450k (or 350k without materials).

Two loans are your best bet - 0ne from VA, one from Seller - If Seller is motivated they'll work with you, especially if they get a substantial sum from the SF home sale.

If we could, the ARV would jump substantially. 3/2s are comping at $300K+ without any repairs.

Will the appraisal come in substantially lower than the intended purchase price because of this?

I was told that Fannie Mae denies any request the first two years after the purchase unless there are documented "substantial improvements."

Cons: Very high monthly payments would necessitate we rent out our ADU on our primary property which is undesirable because we'd have to invest a substantial amount to get it up and running, we'd no longer have use of it (we use it a lot for family and friends) and we are stuck in 30 day only market so the return is much lower than with STR.