Being a KC guy I help a lot of Californai people invest here in multifamily and they come here for cash flow, landlord friendly laws, tenant laws, no rent control, lower property taxes, protection from style of governing.Hope that helps! 

This creates two loan payments ($100,000 of equity and $300,000 on the new mortgage).Key NumbersHome Equity Loan Interest Rate: 6%Mortgage Interest Rate: 7%Rental Income: $3,000 per monthExpenses (management, taxes, insurance, maintenance): $800 per monthIncome and ExpensesMonthly Rental Income: $3,000Monthly Expenses: $800Monthly Mortgage Payment: $2,000ExplanationThe investor earns $3,000 in rent each month.They pay $2,000 on the investment property mortgage and $800 on other expenses.This leaves $200 profit each month or $2,400 per year.However, you have to pay $6,000 interest on the equity borrowed.This leaves you with an annual loss of $3,600.While the rental property generates positive monthly income, the interest cost of borrowing the initial $100,000 results in an overall annual loss.

@Trent ReeveI have kwik sets on two properties I rent out by the room.

One property is rented with a tenant in place, and the home in Riverside, CA is the home of the person who passed.

In fact, my STR earnings in August are less than they would have been if I had been renting by the month!

It went up for rent in November 2023. 

Our current president is supposedly floating a policy idea of rent control to no more than 5% annually. 

What I'm saying here is the reality of it is you will most likely have to plow back into your business money that you receive as rents that you intended to keep personally- sometimes. 

It has been good for us / our investors—very affordable and good price-to-rent ratios.

I currently rent and need to move out of here.