Areas prone to drought and wildfire probably have increased dwelling premiums also.That being said, if this is normal in those areas, the rent should probably cover those expenses without too much trouble.  

Less headache and liability.HOA fees tend to keep increasing over the years so need to consider that.

Unlike most organizations, I believe in keeping the historic look of the neighborhood, and revitalizing the homes, while allowing them to keep their rustic charm.According to the article the amount of sold listings has more than doubled since 2015 and home prices have increased from $113,000 to $143,000 in the last six monthsAlthough the neighborhood may not be quick returns, there is definitely long term potential in the Barrio Hollywood Neighborhood and we look forward to further investments in this community.  

If you increased the down payment, would the seller be ok with it as previously agreed?

As you go there, on normal days, they will not sell you direct carpet and pad only, they know if customers know the real price of carpet, they will just buy the carpet without installation.

They'll offer all sorts of "fixes" to increase your property value, but likely don't have the expertise to do them. 

I have no clue about CA laws and customs. 

John Brendlinger Are you really a customer who has dealt with him many times or you got paid to write the post?

In general, it is harder to secure props that flow in these areas because they tend to be better taken care of, leaving less room for a well-done cost-effective rehab to increase value while keeping the all-in price below market.

Seems like a very intriguing way of managing property and benefitting from increase NOI and ultimately property value.I am looking at a 3 family property that needs a ton of work (perhaps $75-100K, although I haven't done a deep dive on pricing yet).