Would I be able to deduct business expenses and conduct write-offs (i.e. rehab costs) despite the fact I didn’t “purchase” the property, but rather I just contributed the funds?

As my underwriting “standards” I figure:CapEx 7.5%Repairs 7.5%Vacancy 8%Management 10%Water/sewer $40/unit/month, then confirm with the town

I’m a standard 20% down, 5% interest, 25 year amortization on my loans right now.

House listings that have aerial photographs sell 68% faster than properties with standard images. 

This seems like a population that could benefit from living in rental mobile home parks.Seems like you guys could set up some "Shabby" trailers on cheap vacant land somewhere at the edge of town (cheap taxes) and get the bus route to go out there to take them to work and shopping and fill a need.Sometimes people in Texas give older mobile homes away for the hauling.At $35,750 a year that's $3,000 a month Gross (with 3 deductions), they could afford to rent cheap trailers without Section-8.All you'd need is septic, electric and propane out there.A shabby rented mobile home at the edge of town is a lot better than living in the streets (supply demand),And it might cash flow attractively (with Class-D management issues of course).Just my 2 cents on this.Good Luck!

Standard bank loan is 4% do I go with what is standard or is it typical to have a higher interest percentage when doing a owner finance? 

This has hit me pretty hard, I'd guess I have $20-25k in interest to deduct, and have historically. 

So that gives you some freedom and options, you do not have to do a 1031 so less pressure.Depending on how much you make on that determines what you do once you get to CA.I would simplify your life and move to CA first and rent, dont buy anything until you know and are clear on your objectives.An average 4 plex in So Cal is hitting $1.5m - really tough to make that work. 4 units in LA is really out of whack.And do the "rent where you live and buy where you rent" much better approach than trying to buy $1m dollar shack in LA.Palm Springs is interesting and you can find some decent priced properties and some work as an AirBNB so that is interesting but I would run you calculations on standard rents and not base it on Short term rentals.

Depending on your income and what you can deduct each year this should be plenty.

If I pay the $6000, will that amount be deductible for capital gains tax purposes?