Of course, with all things, the answers to all these matters will depend on the circumstances.California tends to have more laws on the books and requirements and restrictions that it can be a good idea to form a CA LLC for out of state property so that you as a CA resident are covered, and to try to have your contracts fall under the purview of CA courts.

Personally when buying rentals I tend to buy in neighborhoods that I feel like I wouldn't personally mind living in and when I look for tenants I try to look for people that not only pass my screening but also I personally don't dislike.  

Section 8 would tend to carry higher repair and as a result, additional vacancy.OP’s definition of cash flow is rent minus piti.  

@Albert Gallucci this is the 64,000 question and I tend to agree with @Jaron Walling it's really not that cut and dry. 

We don't tend to get them when buying from a bank (because they usually won't budge on price) or wholesaler (who often provide an inspection) but do our own thorough inspection. 

And it’s extremely rare to find people you can trust like that in this business, as most people tend to look out for their own interests first.

Tenants are often lat and new owner tend to get very nervous.

It's slower, but patient people tend to make wise investments.

On top of that, we have found that homes with a great view (forest or lake view), or proximity to the clubhouse tend to book better. 

Quote from @Evan Polaski: @Dave Cali, while tend to agree that office will come back, from a higher level I am not sure how much interest you will be getting from these forums.