Modesto is probably a safe bet.

The alternative is to take that money and invest it in areas like Riverside, Inland Empire, Modesto etc, but that would require another loan and the money is getting more expensive as we know it. 

I'm in Manteca...used to live in Modesto and my son goes to Central Catholic HS in Modesto.....I'm in the same situation.....

For example I live in the San Francisco bay area, but I'm looking to invest in Sacramento, Bakersfield, Fresno or Modesto... which are all within 2-4 hours of my house.That way, I'm still close enough that if I need to check on the property in person its not as bad as a hassle as flying out of state.Just my two cents :-)

@Kevin Auyong , So are you thinking inland like Stockton/Modesto area?

It is going to take a bit longer to find a deal using this strategy in Modesto/Merced but it is doable.

As you know, offers are cherry picked by the banks, even on stale inventory.The inventory in Sac, Stockton,Modesto, Tracy and surrounding areas is endless ans you know.

What's your take on investing outside of Bay Area such as Lake Tahoe or Modesto or other low priced areas outside of Bay Area in N.

Modesto finished ninth, putting Stockton, Sacramento, and Modesto all in the top 10 fastest-rising rents among U.S. cities.

@Michael Modesto from what I understand, you must establish an LLC in California if you are in California.