Less risky and you can have a better start.

I think majority of those that are displaced will likely find homes in the surrounding communities in CA (I’m sure some local CA experts have better insight).

Even still, it could be said that I've still lost money due to my time on the tools instead of prospecting as a real estate agent (the cost of lost opportunity).If you can truly do 80%-90% of the work yourself (at acceptable quality levels) and you aren't sacrificing your time where you can get better returns for your efforts, then yes, it can work even up here in Canada.

Is there a better company to go with or am i missing USAA’s definition of “renovations”?

If you come across a better opportunity here in AZ where if you can take your 1M and turn it in to 1.2-1.3M ( maybe a value add deal) sell the house, take the equity and use it to get a bigger return.

Keeping them in a central location might work better.

So never "better or worse" from your Credit union, just different.

I have better luck with posting in the zillow rental section;   rent before you buy, live in a great property while you get yourself ready to finance a great home....Our business model;   protect the buyer or tenant at even our own expense. 

And piggie backing off Todd, financing is getting a bit tighter, and securing better rates has become more challenging.Additionally, having an LLC set up in one market while investing in another can be a logistical headache!

I guarantee your life would be so much better if you removed her and replaced her with a good renter.Do yourself a favor: buy "Every Landlord's Legal Guide" by NOLO.