Since it is a family member and I would potentially buy the property for under market value.

I avoid the multi-family market here, so unfortunately, I will not be a good go-to here, but I am confident you will find quality resources and help here on BP.  

@Danielle Levy a lot of questions regarding your accusations:1) What are the average Days On Market (DOM) for rentals in this "hot" market?

Do this quickly because some counties have a time limit on when you can appeal.I recommend you research the market for:- Comparable Property Sales- Condition of your property, including anything that may affect your property's value- If you are really serious, an expert appraisal may be worth the effort.

The market has shifted a lot in the last two years with rising interest rates, changing rental demand, and shifting economic conditions.

Purchase price: $62,000 Cash invested: $60,000 Project in progress: Off market dealPurchase: $62,000Rehab: $60,000ARV: $165,000 What made you interested in investing in this type of deal?

Despite rate cuts, we aren't seeing the lending market agree with their expectations on inflation.

RE isn't the stock market. 

I'm looking for ways to invest in up-and-coming markets in Southern California, such as in San Bernardino County and Riverside County.

I took my thrashing as you know in 2020  I do know some of my clients that sell turnkey have been keeping the houses and doing BRRRR instead of selling them to investors that part of the market has slowed signficantly for many in that industry.