If you live in the property how are you going to generate income? 

@David HulitIf my calculations are correct, with rental income of $3,900 and total expense of $2,556 ($1,556 + $500 + $500), this property is generating a 26% Cash on Cash return.

There are few properties east of I-110 (somewhat low income areas) which would generate decent cashflow but being a new investor I am just being little skeptical. 

We invest in active investments and passive syndications for the purposes of generating income, so I think it would be way too conservative (and silly) to assume that none of our investments would produce cash flow in the future.Sure, we can't exactly predict exactly how much passive cash flow the syndicated investments will generate, however we can be fairly certain that they will generate some cash flow.

I would like to generate good monthly cash flow in a low risk area with good capital growth, with working families and young professionals as tenants.

Car magnets are NOT call generators.  

Those kind of wire transfers generate govt scrutiny of everyone involved.  

This will reduce your rental income and may even generate a rental loss.The article below provides a good overview.http://www.nolo.com/legal-encyclopedia/tax-issues-when-renting-out-room-your-house.htmlCongrats on the first property!

Vacation rentals can generate higher rents than long-term rentals, but they're more work in terms of ongoing marketing and management.

If generating some cash immediately is necessary, why don't you see if you can get the lot subdivided so you are able to sell the house you have rented for the cash infusion and keep the house you are currently living in?