I believe it to be a little Southern California hidden treasure for cashflow, mainly class C but if you know what you are doing its a really good option to invest locally in CA with decent returns.

When maintenance is scheduled, we send out a reminder, and if they won't be home, they can easily authorize entry.Sometimes, our contractors will contact tenants directly to arrange the most convenient dates and times for visits.

Pretty much think of a commercial loan process as a residential loan process backwards.Lenders do go off the income of the property, but they also do check out the purchaser...3 years tax returns and a personal financial statement. 

At a 7% annual return, this could grow to $908K after 10 years, providing immediate liquidity and diversification.Alternatively, holding the property could yield $825K net equity after taxes in 10 years, assuming a $900K sale, with the potential to defer taxes via a 1031 exchange if reinvested into another property.

I mean even if the IRR is trash and the cash on cash returns don't come back as promised. 

The two are almost entirely different markets in terms of price points, returns, tenant quality, and overall investing strategy.

I've owned the house for few years and have spent a lot of time trying to design an addition to add value to the property, but the current floor plan is really not conducive to realizing a return on that investment (tiny living room, low ceiling basement, poorly placed basement stairs, etc.). 

Done right 2%/month return on asset value is possible. 

It can easily take 6+ months to find a motivated seller. - Just be prepared, because a motivated seller typically has a property with issues you need to be sure you can solve.

I always recommend to make even a little passive income from a rental after all your expenses, lets be honest you put a lot of effort into this rehab so you should reap a little return.