It has ample basement living space, that the tenant uses as a third bedroom.

I live in SoCal so if I wanted strong cash flow I would likely have to look out of state.

Where do you live, and where are your units? 

Unfortunately, over the 11 months he has lived there, he has only managed to pay the rent on time once.

We would buy a house live in it for 2-3 years then on to the next and rent the old one out.

We overthink real estate...Just find a place that people with options want to live. 

I also have registered my "rental company" with the state of Maryland, where we live. 

I have owned 3 homes in the past that I lived in.

Also, if it fits your budget and your business needs a write off BPCON lives up to the hype. 

(For context, it's a 2700 sf 4 bd 3 bath house in an upscale Northern California suburb.)Kitchen A: Traditional, features a 48 in fridge, 36 in cooktop, window sink (no view), pantry.Kitchen B: Designer, features a 60 in fridge, 48 in range, large kitchen window (no view), sink facing living/dining room; unfortunately no pantryKitchen C: A Little Bit of Both, features a 48 in fridge, 48 in range, sink facing living/dining room, pantry, unfortunately there's no window.Total countertop space is roughly the same (22 ft)  in all three layouts.