Seconding what @Max Wilhite said, Multi-Family is a great way to get started.

I agree with the notes above but will also caution you to make sure you're very conservative in your underwriting for the multi-family properties with more square footage.

@Stanley Nguyen Interest income from private lending is taxed as ordinary income, which can significantly reduce your effective return.

They already lost some major players due to the state capping rates https://www.foxbusiness.com/lifestyle/california-insurance-c... will all insurance companies stop coverage, raise rates or reduce what they cover?

Not only low-flow, the flushing mechanism reduces the likelihood of clogs.  

Willing to give up nights and weekends with your family? 

We are considering investing in Houston as foreign investors (from Belgium), our goal is to find and start with a long-term rental single or multi family home. 

I still have family in CA however so I visit often, and investors can drive to their properties if needed from Northern CA.  

Tax benefits should be considered but not be the sole factor.The 'main benefit' from a tax perspective should be to generate a high return from your real estate investments and not to pay taxes on the return that you get.If you are able to reduce your taxable income, that should be icing on the cake.

If I were in your shoes, I’d focus on house hacking in Phoenix by exploring multi-family properties or using the BRRRR strategy with undervalued single-family homes.