If the economy Is diverse where you are moving and the population in growing you should do fine even in it seems like there is a bunch of competition.  

Hi guy i live in Iowa and currently building diverse portfolio of multi family and sfh and laundry mat and restaurant for legacy building so i can hire my kids 10years from now so they never need a job but work for the family love to get together and talk sometime good luck and hope to here from you in future.

If you think investing outside Cali is wiser or offers better diversication for you awesome.

The US has the most diverse real estate market in the entire universe and what holds true in Manhattan certainly won't in Podunktown WV, Smallville KS, etc., nothing against those states :)  So why should the numbers?  

As most NYers agree - it's one of (if not the) best places on earth (certainly in the US) because we have incredible diversity, openness, creativity, access, architecture, history, culture, opportunity, transportation etc..  

It is a diverse and growing real estate market with a low entry point.

Invest in a more diverse portfolio like Betterment, Wealthfront, or RealtyShares3.

@April BandaGreat question, not a CPA or accountant but in my business I know my book keeper keeps rentals different from notes and I think they are treated different for tax purposes on how / what form they go on.Overall I recommend a diverse portfolio to include rentals and notes.

But he presents it very well, down to earth, diverse across many aspects of commercial multi-family and makes it understandable.

Just make sure your selected niche(s) and market are in a diverse area in the economy and have population growth.