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.

Staying local would make capital the limiting factor where my restrictions out of state would be additional research.

Important - Make sure you know the local restrictions (if any) regarding STRs.

You need to be careful with prequalifying people these days as various cities and states have laws that can restrict that. 

It simply is a metric to measure that your odds of getting a return are better.

Are there restrictions on credit reporting for CFDs versus mortgages/DOTs.

Yes, if anything its easier since no residential restrictions. savvy participants.Harder because you have to know how to present a property, typically have to spend on chase costs prior to assigning.

I am not in an HOA so there is no rental restrictions.

.- The numbers may have an impact on your decision.You may also want to read your condo's Home Owners Association Master Deed & Bylaws to make sure there are no restrictions on any type of rentals. - Many HOAs have LTR restrictions and some now have implemented STR restrictions.Also, hopefully you've updated the home insurance policy of your current STR rental from a homeowner's policy to a landlord policy.

However, there are restrictions: you cannot personally use the property, mix personal funds, or finance it with significant debt without triggering Unrelated Business Income Tax (UBIT).