I lived in the first house while fixing it up, and it was super convenient to fix up my first rental after my 9-5 job (since all I had to do was walk next door). 

I say that for two reasons:1) while I'm very convenient for hospitals I'm a bit inland and nurses visiting here typically want to be right in the coastal area or the trendy downtown districts if they're looking for the 'experience' of staying in Socal.

I know why some folks will want the note to be under a certain states jurisdiction.. it forces who ever is defending to come to you and its more convenient so U dont have to go to him for trial or depo's or whatever.. but then you get a CA.. judgement that you have to then port over to where ever they have assets.

Investing for appreciation only is gambling.

That is why Proctor and Gamble spent nearly $200 million advertising Tide.  

In my opinion, it is definitely a gamble but what isn't in the world of rental properties? 

I know what it's like being in a real disaster zone where ATMs are down, bank branches are closed and it's cash only for whatever remaining food is at the local convenience mart while you wait for FEMA to show up.If you feel comfortable then that's your decision and I do commend you financial discipline, but at least I got you thinking about it. ;-) BTW - I live right next to Michigan and food storage supplies here are just about the hottest selling item right now because it's canning season and everyone here preps for the potential of serious snow storms.

They can drive by the outside at their convenience.

Being so highly leveraged makes you extremely exposed to market fluctuations and with virtually no cash flow to lean on, it seems more like gambling than investing.Also your expense assumptions are flawed.

Yes you can rent down the road , refi, pull the money and gamble again …but why ?