There is a significant difference between being awarded a judgement and actually collecting any money.   

A balanced approach—leaving some 401(k) funds for diversification while allocating after-tax dollars to real estate—can optimize tax efficiency and meet retirement goals.This post does not create a CPA-Client relationship.

We expect to continue to acquire properties as a group.At the moment, I've been collecting recommendations on suitable attorneys. 

Meeting that 2 in 5 of the last requirement allows a single owner to shield $250k of appreciation and a married couple to shield $500k.Unless you predict a lot of income from the MTR or you feel that there is a lot of appreciation incoming over the next three years (minus time get the property sold), you may want to consider collecting your $100k (passing GO) and redeploying that money to whatever you feel is its best use. 

How much time should I realistically allot for application/background checks, walkthrough, paperwork return, deposit and first rent collection? 

For collections in Southern California, try Sutton Law Center or California Judgment Enforcement.

While collecting payments for buyer for 30 yr's.

in such case, optimizing rent justifies longer vacancy.  

Starting small and scaling up is a tried-and-true path, and this community is filled with people who’ve walked that road and are eager to share their experiences.Feel free to ask questions, share your wins (and challenges), and tap into the collective knowledge here.

If either of them were to stay involved, it could cost you money and you would collect less.Send it to collections yourself.