I guess in perspective, getting rich quick to most is landing some lottery, or gamble.

Well, first look at your state guidelines.

I believe their options varied from 70-95% CLTV (for HELOCs).Of course each lender's underwriting process / guidelines may dictate other requirements or adjustments to specific terms.

So here is my question, from that point does the rehab expense become another loan created with separate guidelines, or is the same loan but just more money borrowed?

Just guidelines to help you get to your end goal. 1, 2, and 3 are crucial but everything else tackle it in your own way and process.

:Just do it the CO monitor is like $30, plus I believe code is a CO monitor on every floor it would make sense that you would need it if people are going to be living in this "other unit"So, essentially, I just need to make sure the building is within the guidelines of the city ordinances, add a monitor, get an inspector to come out, and move in?

Under the BRRRR "70% Rule" guidelines, it should have a market value of $350k!

Perhaps you can do it that way, and of course set strict guidelines to the use of the common areas. 

Before they come out ask them questions over the phone.REMEMBER, all contractors don't nor are they required to operate the same in every state and you should follow all lien guidelines to protect your investment. 

Also, it is very difficult to find a rental that satisfies the 1 percent rule in the area so, if that is one of your guidelines, you will definitely need to find a smoking deal or look a little farther out.If you’d like to meet up sometime send me a message!