Alternatively, investing in money markets is another consideration.

An example would be mixing your personal and LLC money in the same bank account.3.

Plus you'll most likely make more money in home value growth compared to a multi family. 

Sure it does. but depending on who the celebrity is/was.....That's why so many little hotels, boarding houses, vacation rentals, etc..... feature this in their advertising.And in some cases, you will not get more money, but you will get more guests.A little while ago, I went to Tombstone AZ and stayed in 'The first boarding house in Tombstone'....really cool place but kinda small and, well....old feeling.

B) I don't have to give the contractor any money upfront for anything.3.

@Malcolm Brown it is great that you are thinking of the money to fund the deals you are going to get started with but understanding what a deal is, I think, should be the starting point. 

@Yooni Choi managing from out of state (OOS) with ZERO previous landlord experience - probably won't go well.You WILL make a lot of mistakes that will cost you money.

You can use seller financing, or you can use hard or private money.

I personally would look to a growing market and then exchange the money back to CA later, when things soften up.

If so make they have their earnest money held by the attorney and not the agents broker.