Looking to Start Investing In Southern California: Any Tips?

[Matthew Vandegrift]

Hi Everyone, I'm looking to get started investing in real estate in the next 12-18 months. I am finishing up my degree in Phoenix and plan to move to Southern California as soon as I finish in May. My wife and I have a dream to live as close to the beach (as in on it!) in California as possible, preferably Newport/Laguna area, and I have a dream of starting a real estate investing business. I want to buy and hold rental properties; I have several strategy ideas, but one of my favorites is to buy a house that needs some work, live in it as we fix it up, and then rent it out as we move on to the next house. I'm not looking for huge cash flow, but a steady income over time that, as I pay off each house, the income will increase drastically. I know that Southern California is extremely expensive, but I want to accommodate both my passion for real estate and my family's desire to live in Southern California by the beach. Right now I'm open to anywhere within 1-2 hours of the beach. Riverside is on the top of my research list, but I've heard mixed reviews of Riverside. I've noticed on the MLS and craigslist that there seems to be a pretty good supply of 3 bed 2 bath housing (which we need for our family) in the $230,000-270,000 list price range in the Riverside area, which sounds perfect as we want to put around $12,500 down (possibly FHA 3.5-5% down). I'm also open to duplexes to house hack, but one side would have to be 3 bed plus. Does anyone have any suggestions? It doesn't have to be in the prettiest area, but safety is a concern as I do have a family. Thanks for taking the time to read!

(p.s. I don't like the idea of investing anywhere that I can't drive to in 2 hours or less)

(p.s.s Sorry this got so long!)