Even with that, I think we will still be way ahead. 2 bed, 1 bath, 1200sq/ft, detached 1 car garagePurchase Price: $38,000Repairs: $20,000ARV: $96,000 (based off Zillow, but a local real estate agent thought that was pretty accurate)Mortgage: $430Insurance: $55Trash Included: $25Rent: $1,000We are now going through applications for our first tenant. 

I did a search on my own  to help them find it and I can't find any insurance companies offering quotes for the Los Angeles area at the moment.

We're National - I'm based in California.   

Just some notes to consider based on what your unit is like. 

If its the business then asset based lenders may be interested.

If you die while holding the property, it gets a stepped up value and all the gain is tax free.If rental the taxes can be deferred via a 1031 and if you die while holding it, it gets the stepped up bases with gain forgiven.Hopefully the numbers provide some example of possibilities. 

(If you have not already) read enough books on real estate to increase your knowledge base.

It should also be somewhere with beneficial landlord tenant law.Best of luck in your search and let me know if i can help.

Based on an inspection report on one of the deals I worked on last year, I was able to negotiate over $15k of credits and repairs for a $200k house using a $400 inspection report for one of my clients.

Many times the tenants are income based and pay 20-40% wherein only 60-80% may be guaranteed.Aside from the rent percentage issue is pride of ownership.