Strengthen Your ProposalDevelop a Business Plan: Include:Vision: Your goal of creating a micro-home community.Market Research: Show demand for affordable or small-footprint living in your area.Financial Projections: Break down costs, ARV, and anticipated ROI.Experience: Highlight your previous fix-and-flip and demonstrate your learning curve.Present a Solid Development Plan:What is the size and scope of the project?

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.

The cost of admission was worth it as I was able to make really good connections with a lot of people both in the program and not.  

I am in this camp myself, as I do this full time.I agree with your point about focusing on long-term sustainability rather than chasing maximum rental income at the cost of increased tenant turnover or property damage.

For cash-on-cash evaluation of rental properties, it is critical to identify ALL of  your acquisition costs. 

Specifically, the cost to have it corrected is now a known material fact. 

If you don't want to finance the other projects then you should consider your opportunity costs.   

., to 2.5x or 2.75x) since tenants won’t have additional out-of-pocket utility costs.

EDUCATE YOURSELF - yes, it will take time, but will lead to a selection that better meets your expectations & avoids potentially costly surprises!

With that being said we tend to see a lot of CA buyers relocate here for the lower cost of living including lower home values, property taxes, insurance, no state income tax, gas prices etc.