@Kent Fang chingI too am in CA but do not own any investment properties here - maybe will consider AirBNB in 2025.My choice for OOS investment includes GOLDSBORO, NC.  --  Goldsboro has a strong real estate market, Low cost of living and affordable properties.

The good news is that these properties can indeed be purchased for various investment strategies, including rentals, BRRRR (Buy, Rehab, Rent, Refinance Repeat), or fix-and-flip projects.Purchasing as a Rental or for BRRRR:You can acquire a Freddie Mac home to hold as a rental property or implement the BRRRR strategy.

This includes converting it to a rental property or refinancing into a different kind of loan. 

Portfolio = Income derived from financial instruments like dividends (including REITs), interest, royalties, and capital gains.Mostly income w/out loss potential, and favorable tax rates.Cap losses may offset cap gains w up to $3,000 loss.

The agreement stipulates:"The owners agree, that no water shall be used for commercial purpose, but only for their private domestic use including vegetable gardens and livestock maintenance."

32k or even 42k on a half million dollar house doesn't sound all that good.What's your projected cash flow after all your expenses including a likely higher mortgage payment than the current owners?

Your net income includes equity from debt pay-down.

But I agree with @Stuart Udis - when making offers on occupied rental property, I always review the Financials including the RR & T12.

This could include keeping track of the construction holdback.  

The original deed listed multiple owners and percentages including her 8% interest, and now myself and the other owners want to sell the property---how do we get this retitled into my account (or my name) in order to facilitate the sale?