He got 20% of free cash flow after debt service, he got 20% of refi proceeds when they completed business plan and refi'd after completing business plan, etc.  

I’m just trying to net work and further my education in the Realestate industry  In addition to the meetups I recommend you start interviewing agents, lenders, handymen, attorney's, architects, attorneys, insurance agents, property managers,... to build your team. 

Getting leverage to not give up additional equity is not a bad play at all, its actually the better play as long as you can get the value add you anticipate. 

Here is my take: 1) there are already ways to do this throughout the state for those who know the various options 2) the only cities that will choose to participate in AB1033 are those that already support extreme ADU additions. 

Additionally, California does not recognize series LLCs as other states may do.

I know other people who have done the DIY cost seg and have been happy with it - but when using a company, they will back up what the report states and if you get audited will defend their cost seg at no additional cost. 

In addition to being a beginner investor I'm also a new real estate agent and want to send postcards to all the homes in my subdivision (I have the list of addresses).

Feel free to send any additional questions.

Also, not sure if you are budgeting for CAPEX/Maintenance/Vacancy/Property Management, but that is an additional 15-20% of gross rents in general so that makes this deal even harder to pencil out on paper when you are financing almost the entirety of it via HELOC or Mortgage.Now, if you went with option 3 and could househack the home, use the first property that you are taking the HELOC on as a rental and either break even or cash flow positively, and could subsidize your personal living cost by living in the new SFH and renting out the other rooms as planned, this could be a viable solution.

A sixty day notice of termination of tenancy is all that required to comply with State law.Depending on location, there may be additional tenant protections in place at the County or City level.