I'm having issues getting property under contract.Agent/seller wants a pre-approval of funds first.I can't get a pre-approval for every property or is that the way it works Thanks

There are still deals (in my markets) on the MLS that have PLENTY of meat on the bone if you are willing to deal w deed issues, tenant issues, structural issues, etc.

The issues I am seeing, especially with newer HOAs make me think that you should almost never buy a rental in an HOA.One HOA in north Texas tried a few years ago to prohibit Section 8 rentals. 

I asked the servicer if I would be able to assume another in the future and I was told this would not be an issue as long as I qualified financially!

@Tomas NunoInvesting in real estate with house hacking is smart, but there are issues to think about since you work outside the US most of the year and stay in California for a short time.

Transaction costs, seasoning, pre-payment penalties, DTI impacts, minimum lending requirements (more than 50-60k), and a long list of other issues make this a bad strategy.Buy 1 and see how it goes.

Potential for tenant issues and vacancies.

Any idea what this would be called and how to structure it legally?

The LLC is a legal entity separate from your personal self. 

I don't think the issue is 13% normal but rather what are you getting for 13%.