You can definitely house hack in California, too - you could buy a place with an ADU, live in the ADU and rent out the larger main house.  

The main reason is labor, and the cost to live around this area is not cheap, so skilled labor demands high wages and benefits. 

We will be renting the 3 bedrooms of the main house as mid terms and the in-law as a long term.

Now, if you're main goal is cash flow, then this is likely not your place to go, but if you're open to cash-flow neutral, then you're likely to see some great long-term appreciation.I've worked with an awesome investment-minded Austin agent when she was buying up in Denver, and she's got rentals in Austin that are doing well, too. 

It has become my main motivator for learning so much about real estate investing the last 1-2 years.Where I'm at now is I feel like I'm missing out on other stuff I could be doing to achieve my goals.

The tenant had to get money from the church to pay you.

I guess the main reason they would want a site is for something that will consolidate all their properties under 1 brand name that they can post on face book and other sites or give to friends and family.

Investors want to see a clear plan with realistic numbers, including contingencies for any unexpected issues.As for structuring the deal, you typically have two main approaches:One option is to offer the investor a fixed interest rate on their capital.

If I am starting out as a real estate investor interested in being a rental landlord (still working out the main type of rental I want to work with), can I refinance the house with a higher rate and make it a rental to my husband as my first rental?  

I am not sure if you have looked into a hard money loan- which is what I mainly set up.