I know that if a cost seg, l would need to back that out of my California return.Your answer seems to confirm what I suspected.

@Matthew McleanBigger Pockets is a great place to find an accountant specializing in real estate taxation.A good real estate accountant can save you thousands of dollars by leveraging entity selection and formation, tax deductions, cost segregations, bonus depreciation and tax planning.I recommend finding an accountant specializing in real estate taxation, business taxation, financial planning and tax planning.Consider working with your accountant remotely to expand your options.I would also recommend looking for an accountant willing to work with you throughout the year.

What happens if you buy the SFH and hate renting it by the room but the cost to maintain is too much by yourself.

I can promise you that my first deal was TERRIBLE, but I lived at a reduced monthly cost to living than renting/buying a single family and that is what mattered. 

I believe this is what they call a pier and beam foundation which I have no experience with so I have no idea what it would cost to fix. 

I don't think the two unit COA is that bizarre, you either have common areas to maintain via the COA or you have to do cost sharing on all expense by each owner sending in half.

The management company has replied that they don't coordinate with neighbors and just want me to cover the cost of all the repairs. 

Keep in mind the costs for property management, maintenance, and vacancy rates to ensure you're budgeting appropriately.

Then if I have additional concerns I call in an expert to get further information and an estimate on what the repair will cost.

Telling sellers everything wrong with their house and justifying your offer with repair costs doesn’t build trust—it kills it.