Quote from @Nate Sanow: Yes I own two that are near 100 years old and I will tell you they are a pain in the you know what compared to all of my post WW2 properties especially post 1980… layouts are better in the last 50 years and energy efficiency is better and I can keep going… HOWEVER to reply to the other aspect of your question, I’ve found appreciation is better with older properties in areas of the path of progress.

I would get an attorney or title company involved to create your loan documents to ensure they comply with the law and cover all the aspects you need.Another method that is likely your best bet to take on investors is to create a joint venture (JV).

Curious as to whether anyone uses them and has anything negative to say.

I would appreciate any positive or negative comments on your experience with this investment opportunity. 

or now your deal will become overall negative every month?

Got a negative review for not having a garage to use in the winter….

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

I wanted to get my feet wet in the commercial space as I look to grow my portfolio and negate risk with more units.

I think this applies in all aspects (fitness, relationships, career, etc.). 

Despite all the negativity people still want to live in CA.