Best bet is to carefully analyze the zoning maps and regulations or just call the town and ask.

The lessons you learned the hard way in 2008 will be invaluable now, and it’s great that you’re aiming to stay small-scale and within your comfort zone of Sacramento, which gives you an advantage of knowledge in that market.Given your experience, I'd say start by focusing on three key areas to build confidence and minimize risks:Budget Control: Over-renovating was one of the big mistakes you mentioned.

How hard or easy is to get zoning approval for a new assisted living or senior housing project? 

Be careful with flood zone properties.

Start with a standard offer, and write a contingency into it for electricity, all the below ground utilities, and then work your way to zoning, permitting etc.

Quote from @Jay Redding: @Wade Wisner -  Most of the notes that we purchase we keep in our portfolio and borrow against them with private capital.

The voters in Red States would never allow a national rent control.

Having developed a majority of my career in CA the regulations and red tape for construction and development are intense. 

Is it based on town zoning? 

There are a couple of unique tax laws to real estate investors - 1031 exchange, bonus depreciation on certain improvements, Qualified Opportunity Zones, real estate professional status, etc.Make sure that the accountant you interview to understand the above concepts.best of luck!