I just think it's important the OP make sure to understand the area before just analyzing the numbers, as I don't know his familiarity of north county. 

Cheers...Brent, the OP is a first time home buyer.  

@Ed Neuhaus There are definitely a lot of properties in Houston under 125k but I'm not really seeing much that cashflow in the 400-500/month range after taking into account vacancy/op ex/cap ex/PM (correct me if I'm wrong).

I was answering the OP's question, without digging into the potential opportunities into negotiating price on the illegal unit, depending on the feasibility of conversion (I don't have experience with conversion of illegal units in Oakland either).

First off, install coin ops if you haven't already.  

If, like I said in the beginning, you decide to go it alone, OP needs to already have answers to the questions she posed, which is still a ways off.Good point Jeff S about crowdfunding being regulated by the SEC, that's probably the better answer.

It's virtually meaningless outside of commercial office space or condo/co-op apartment developments with uniform floor plans.To comp a house, you have to find similar style and age homes within a 1 mile or less vicinity that have sold in the last 3-6 months, 1 year max.

And lastly they will be building co-op style condos.

This was passed by Congress, and as such is a Federal law and supersedes any local or state ordinances, and the text of the act is quite clear that it also supersedes any HOA bylaws or any text you may have in your lease to the contrary.Now you're free to tell the tenant anything you want, and cross your fingers that they go along with it, but if they spend a few minutes on Google and want to push the issue, you don't have any recourse.Thankfully, that does not apply to our properties ... though the OP is not so fortunate.While you may not be able to prevent them from having a dish installed, I cannot imagine you would be restricted from providing conditions under which it may be attached to your property (and whether holes could be drilled through the envelope).

The OP acts like this is the only time a seller backed out of a legitimate deal.