If you deposit the rental income from one property into the same bank account used for another property's expenses, or even your personal expenses, you have blurred the lines between these legally distinct entities.

Short story--selling one house, will have 350K or so to use for construction draws on another house.  What/where do you all put this money so it is easily accessible for draws, yet earns some sort of interest?

Allowing an owner to override this system can blur professional boundaries and undermine your authority and expertise as a property manager.In the long term, this can create confusion, damage relationships with applicants, and lead to operational inefficiencies.

I understand better now the necessity of doing occasional walk-throughs on rental properties.

I've had the bug for a while and have read a few books and tried to pencil out the occasional deal, but I'm looking to get more active now that I've gotten to the "some breathing room" point in my career.Mostly looking to do long term rentals.  

High Rental Income Potential;       In LA County, you can expect average ADU rents around $2,050–$2,550 per month for a one-     bedroom unit.On a construction cost of roughly $150,000–$220,000, that translates to annual gross rents of $24,600–$30,600, or a 7–15% cash-on-cash return before financing.Strong Property-Value UpliftHomes with an ADU in Los Angeles often sell for about 35% more than comparable properties without one.For a $800,000 home, that’s roughly a $280,000 increase in appraised value after adding an ADU.Solid Cash-on-Cash ReturnsEven paying cash, you can net 10%+ annual returns on your build cost from rental income alone.And financing the project can still leave you with an $8,000–$10,000 annual net gain after mortgage costs.Resilient Demand & Market DynamicsLA’s tight housing market keeps vacancy rates low and rents high, supporting steady occupancy.Regulatory reforms have streamlined ADU permitting, cutting wait times and softening approval hurdles.Tax & Incentive BenefitsYou can deduct mortgage interest and depreciation on the ADU, improving after-tax returns.Energy-efficiency or solar incentives can further lower net build costs.Things to keep in mind if you already own a property and can't afford to buy another.Upfront Costs & Timeline: Expect 9–12 months and $150K–$250K all-in.Permitting & Utility Upgrades: May require separate electrical sub-panel, meter, or sewer hookups.Maintenance & Management: Factor in insurance, taxes, and occasional repairs.In Los Angeles’s high-rent, low-vacancy environment, an ADU typically pays for itself in 6–10 years through combined rental income and increased resale value—making it one of the most compelling "home-owner" investments today.

You'll need to occasionally clean everything that gets wet, as sunlight and movement burns up free chlorine really fast, and you'll need to do the occasional GFCI reset (your pump should be in one of these or I'd unplug it pronto in a rental) and cleaning of the pump intake. 

I stayed in the house for 8 months, and aside from occasional ants and a couple of yellow jackets, I did not see any other pests.

Unlimited licenses have been suspended - very occasional 'grandfathered' or commercially zoned properties do exist* Arch Cape: Restricted to one occupancy every 7 days.

Occasionally sell and 1031 into more attractive assets.5.