Beside the labor costs there are the permitting and restrictions around Truckee.

The residents do not seem to be STR friendly, so I would expect more restrictions in the months and years to come. 

(Note: I’m aware of the new STR restrictions in the area).

Depending on your address you may fall into the city's jurisdiction which only allows short term rentals for 90days or less in a calendar year, or the unincorporated part of the county which does not have the restriction.

Otherwise you will be restricted to DCSR or hard money loans and have to bring 20-25% down. 

Are there any restrictions, etc.Looking for some general feedback on the area!

You can close on a property and immediately sell it to a 3rd party unless there's a Fannie Mae Resale Restriction on the property.

Has anyone been able to get around the subletting restrictions?

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.

I live in Colorado where I've noticed programs that are income restricted while they have great and important intentions - it's so limiting because the folks who both have a high enough income to qualify for the mortgage yet also low enough to make income qualifications are such a small small % of the population it makes it almost impossible to meet both criteria at once.