The rental rate is between $700 and $900 per month so the curret tenant couldn't stay there paying that amount.

Stay away!

I'm having trouble finding an attorney who is comfortable with assignments and wholesaling in general.

As we all know inspectors can be your worst enemy, they don't have to be your friend but you want to stay off their immediate radar..Code upgrades are usually only required if you pull permits.. to do upgrades,, but if for instance they do a yearly inspection and find you need GFI outlets in bath and kitchen you'll need to comply and get it taken care of.. along with what else they pick out that needs replacing or repair, once the door is opened up they have the right to write fix it orders until it's in good enough shape to comply with living standards.1. parking for your tenants.. forcing to register cars..

I'd be curious to hear from other landlords what their comfort level would be with a single parent and 3 kids with another on the way.  

@Antoine MartelI'm mainly staying in the $140K-$160K range.  

It Really boils down to your level of comfort.  

If you get something in appreciating market, like the Bay Area, and you hold on to it for a long time you will see the value of your property rise, but the property taxes stay very low because of prop 13.  

However be aware these types of people usually file motions and to continue to exploit legal loop holes, in order to stay in the property longer, so take no prisoners. 

I stayed in mine for two years then put a tenant in it and sold it turnkey for a very nice mid 5 figure profit.