If you have a TON of ADUs in your area, you might get 50% of the cost to reflect in an appraisal. 

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620 (approaching 22% probability of default), many blemishes, but should have no evictions in last 2 years.

You will want to consider having the tenants sign a new lease agreement if you believe that's necessary based on the existing lease agreement.If you're referring to your agreement with the property manager, make sure there's no additional costs or hidden fees.What is the best way to officially inform the tenant about the management change?

& different parts of the asset can be depreciated on different schedules.To find out the useful lifespan of each component, you do a cost segregation study to analyze all of the parts.The raw land can't be depreciated so you start by giving that a value first.But other items can be depreciated on a quicker timeline.A roof, road, sidewalk, fencing, walls, gates, doors, latches, flooring, air conditioners, pavers, curbing, landscaping, etc.The IRS has a depreciation schedule for each type.Some parts are 5 yrs.

So it more than just price at purchase its all the costs.. and MTR bring in double or more normal rent.

The example scenario would be if I bought a $1M property, the bank is in first position and covers 800k of the property cost, the seller agrees to cover cost of down payment and covers 200k of the property cost.Let's say we can no longer make payments on the property and it's foreclosed on.

It costs around 260k.

We figure 15k yearly in holding costs, HO insurance, flood insurance, taxes, utilities. 

Please at all costs do not commit mortgage fraud based on the advice of someone who will deny they ever spoke to you about any such thing if all hell breaks loose

I got into the industry primarily to learn about real estate investments specifically long term rentals/ the BRRRR method so when it comes time for me to do my own deals I have the confidence and knowledge to do so.