However, the property does have Property tax lien and HOA lien.

Presented by Premier Law PLLCAccording to Florida tax regulations, real property without a homestead exemption is eligible for a 10% cap on annual increases in its assessed value for real property tax purposes.

You are better off exchanging into an SFR, multifamily or DST investment depending on how much you have to invest. 

Listed some of the tax benefits you can receive while building an ADU and once the ADU is built from my research. 

However, since I've been in NC (for the past 8 years) from NY; it seems more attractive, just dependent upon location, price and ARV.  

Shawn - I would suggest you develop a pro forma based on the stabilized state of the property to understand if it cash flows once all units are occupied being sure to include all reasonable revenue assumptions (rents, vacancy factor, etc..) as well as expenses (debt payments, maintenance, utilities, property management, taxes, insurance, turnover costs, etc..)

Depending on qualifying income you can go up to 90% LTV or most attractive terms will be 80% of the value or below. 

This will depend on the type of lender.

We will lose the homestead and that will cause a re-assesment and explode our property tax, but it is what it is.  

However, are there tax implications to this kind of arrangement?