You're at your most vulnerable when you're just starting off.

's explanation of strictly investing for appreciation, as you end up putting yourself in a vulnerable position and when the market dips your in the whole.I think it makes sense to invest in an area that is able to provide appreciation and cash flow, such as Columbus, Ohio.

But if you dont fall under those you must accept it or be vulnerable to fines and civil suits.  

California owner is the most vulnerable here. 

If you are going to apply a law, apply it equally for the benefit and punishment of all, not simply to manhandle the most vulnerable.  

Perhaps shooting from the hip has worked for you so far, but you can be in violation of the Act even before you show the property for the first time and you're immediately vulnerable to predatory tenants.If some due diligence on a new business is too much for you, I would suggest you invest in a REIT and let the professionals who know the rules take care of your money.And no, I am not an experienced landlord, I am educated one.It is akin to buckling your seatbelt and checking your blind spots before you drive.I also didn't suggest NOT learning about JVs and other methods of getting into investing.

Otherwise the reason for creating your LLC in the first place is out the door, and you are still vulnerable. 

I am currently in a similar position to you when you decided to start out (enough for down payment + closing costs, but would be feeling pretty vulnerable savings-wise after that lol).  

Of course, this is assuming that matching the competitor rental price doesn't leave you in a vulnerable position financially. 

If your 401k is vulnerable RE business is just as volatile if not more.