These are the pros and cons of these markets as I see it: Riverside: Larger units with more bedrooms; I can afford better neighborhood with less crime (50 percentile); properties are less old but ugly. 

Also, how many bedrooms are in each unit?

Since you plan to theme it and didn't put a number to that, lets just say $75,000 conservatively, including garage, bedrooms etc.

Wife and I bought a 3 bedroom single family home in Merced CA.

Buy a single family home with as many bedrooms as you can afford and live like a college student for as long as you can. 

Now I provide a modestly sized (42-48") TV in every bedroom, and a big one in the living room.

Yes it's recommended you put keylocks on each bedroom.3.

It would be so helpful to do a 'deep dive': how much did you buy the house for, how many bedrooms, how much do they each rent for?

Rick, I am preparing to convert a detached garage in Anaheim into 2 bedroom ADU.  

“Should I start with a condo (about $400K for a studio/one bedroom) since that would be less than a single family home (800K+)?”