They want to keep the note long term but want to leverage or recapitalize using hypothecation (similar to #3 on Chris's list but with notes rather than homes). 

4-5-6 bedroom homes with 3+ baths. 

Home price appreciation is still trending up, but cashflowing rentals are difficult to find for the most part.

Please extend an invitation to your tenants to visit me in my home (1925 block/stucco construction - a dang bunker for all practical purposes)...footsteps bother them? 

I have 2 single fam homes, but want 5-10.

My husband's family is from there and we go visit them often from our home in the suburbs of Minneapolis. 

Lower property taxes, affordable housing compared to LA (CA buyers are usually cash buyers because what they net from their smaller home in CA can get them a bigger home here, often covered by what they net from their CA sale), allergies (smog), and politics. 

$540 is not unreasonable for a home of that size and the items you mention.

I bought a single family home for cash in November, did the renovations and now have tenants.

Purchased for $69,000, I tackled everything from a new roof to interior updates, transforming it into a move-in-ready home.After months of surprises (and a few headaches), I sold the property for $145,000.