I have a mid-term rental in Southern California near the beach that is consistently losing money each year.

It's a lose lose bro.

Who wins and who loses?

You can still lose your investment in the LLC.

Or give any one area a leg-up, besides the initial players like Virginia. 

What's the point of getting cash flow if you lose all your capital?

put another way:-Go on Zillow and buy a random property in Detroit: fail, lose money, give up on real estate investing.

It's a "Heads I Win, Tails You Lose" proposition. 

@Byoung Bae would NOT recommend an inexperienced investor try to DIY manage OOS anything other than a Class A rental.The odds are against you and you will statistically lose a LOT of money.Read below for some friendly advice:-----------------------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

And we are just beginning.Norada Capital Management ( Link )30251 Golden Lantern # E-261Laguna Niguel, CA - 92677-5993Professional poker players call it a “tell.”