I think what @Garrett Brown is getting at is using this in addition to other methods.

I agree with the others here that say you need to have some skin in the game, if you are going to live there yourself, get an FHA loan rather than owner financing, you can get a 3.5% down loan, personally I do not love these as they require  PMI which is an additional expense, and you also need  bring additional funds for closing at least for taxes, title, attorney and transfer fees . borrowing from anyone else for the down payment, to include a personal loan from the bank is not a good idea, those again will be higher int. rate.

If you are able to add an additional full bath, it sets you apart in the market big time! 

I pull permits for removal of load bearing walls, addition of bathrooms or bedrooms, addition of footage.

Sourced through the MLS and negotiated heavily with the seller to get price reductions and credits at closing How did you finance this deal?

It also depends if your tenants have good credit they care about.

Her credit isn't the greatest, but she's super sweet and a hard worker, so you are certain it will work out.

As for non-bank loans, I'm familiar with a loan program that provides 100% financing, but it requires a minimum 650 credit score and proof of funds covering 12 months of interest.

Additionally, agencies can shut down on you in a heartbeat.

In addition, you would need enough working capital to pay for insurance (which will be going up a LOT in Los Angeles) and to pay for property taxes.Don't buy this unless you have substantial resources and a cash cushion to keep yourself safe.