I have experience handling this in Michigan with my short-term rental.

I'm not familiar with your market, but here are some thoughts:750 Sq ft is small for a 3/1.Interior looks like a flip but it seems like it has been owned by the sellers for a long time...so maybe not.They have been trying to sell this property for 6 months and have reduced price. 

If I were to reduce or take out the vacancy, the 2 would cashflow.

-Signing lease agreements via portalI am working on  automating and hiring a VA to handle all advertising, applications, and lease agreements.Allowing my onsite managers to focus more on the day to dayI looked into Rentalutions but I'm cheap!!  

Just be mindful of the following things when it comes to California.California does not recognize Bonus DepreciationCalifornia does not recognize real estate professional status.Therefore, you can potentially reduce your Federal taxes but not your California taxes.

Did they handle everything after purchase? 

That is the traditional way to handle it.

We are definitely likely going to see a drop in interest rates, which means you could always refinance in the future too to further reduce your monthly payments. 

For house flipping, consider an LLC taxed as an S-Corp to reduce self-employment taxes by taking a reasonable salary and the rest as distributions.

How are you handling the new LAIC requirement in Cleveland?