Your risk is actually much lower in a 3 or 4 unit than it is in a condo, and the potential to save on expenses goes up exponentially as you buy more. 

Your insurance will also be a lot lower because you're only insuring the space between the walls.The downside is that if the association is bad, then the building could be left to fall apart, and then you'll have a huge assessment for major repairs when they can no longer be ignored. 

If you're cousin will be living in SD, purchasing a home in the Coachella Valley area as a second home (from a mortgage perspective) will enable you to put less down, and get a slightly lower interest rate. 

@Denise MunozI almost stopped reading when I saw it wasn't,  the 1% rule.......If they are selling for $84,500....the gross rent needs to be $845/mo minimum.....Check the real comps for the area....as opposed to what may be on Zillow and see if you can get them to lower the price.......If you inherit long term tenants there and you try to immediately raise their rents by 12 to 13% then you have a decent likelihood of making them become bad tenants.  

Often a PM is able to get higher rents and lower vacancy, evening out their cost anyway. 

Austin’s lack of housing choices disadvantages first-time homebuyers, families with children, and middle and lower-income buyers.

Perhaps it's a lower base salary, but you're able to earn commissions?

-"market rents" are lower than CHA/HUD (section 8) rents, is the building approved for section 8?

Shawn Faris sorry for the delayed response...I am looking at a conventional loan with a down of 10-20% but on the lower end of housing prices(30-50).

I'm looking to do a 1031 exchange on my owner occupied duplex in Los Angeles, where the upper unit was my personal residence for more than three years and the lower unit has been used as a long term and short term rental.