I ended up seeking out below market rent (plenty in east bay) and that freed up my down payment money to invest OOS.If we subscribe to the belief that what happens in SF trickles out the rest of the bay (at varying degrees) then it looks like there might be a peak for rents (which again depending on area might be at or near). 

Belief - Even if it doesn’t seem likely that you can accomplish your goal, it is important that you at least realize it’s possible.

My belief is early in rental property investing, you should have the highest possible leverage.

He is a pretty seasoned and knowledgeable economist.He was chief economist at bear steamedYes people will not like him because of his belief in supply side economics.But he is more than just a tv personality, he does have significant experience

Ah, so is it your belief that CRA led to / caused the crash?  

Just kiddin'.Anyone going through foreclosure has several things going on: 1) They are under a lot of stress, 2) Everybody is mailing to them and knocking on their door, 3) They are embarrassed, 4) They feel helpless, 5) They have the belief that winning the lotto will bail them out at the last minute, 6) It's the bank's fault, 7) This can't be happening to them, 8) They don't want to sell, 9) The house (even though it has a leaky roof and hasn't been kept up) is worth more than market price, 10) Believe you are there to take advantage of them, 11) Believe the government should do more to protect them, 12) Believe that their payments reduce the principal directly proportionate to their payment (Have no concept of compound interest, what Einstein called "the 8th wonder of the world"). 13) They can file a Chapt 13 bankruptcy at the last minute and keep the house if they have income, 14) They will wait until the day before the sale and call you if none of the other solutions work.Your opening comment should be " I buy houses in the area and I was wondering if you or someone you know might be interested in selling".

@Malcolm Douglas - I have no basis for my belief, but I also feel stocks will take a big hit. 

I've been using the Bigger Pockets calculator religious to tally up what is the highest I'm willing to pay. 

Not to make this into a religious conversation but if you are a Christian there are good options available.

Johnathon contrary to popular belief HML these days post GFC is just about as stringent as bank financing.you NEED money you NEED credit and you NEED experience.best way to start is to partner with someone who has the above and build your own experience bucket.you will not get a loan with the situation you described.