That consists of buying a single family home with some form of separate living space to rent out as a STR and help offset living expenses.The DownsideLenders Calculate STR/MTR Rental Income Differently- From a lender's perspective, any rental income received on a term less than 12 months is NOT calculated the same way a traditional long term rental is.

Apologies for how long it is 😂Background - I have put a back up offer which looks like it will be accepted when the current buyer doesn’t meet the negotiated timeline  to close on a deal which was 2 small single family’s 2bd / 1bth recently fully renovated being sold together on a parcel.

What advice would you offer to someone with no experience to date with rentals in terms of selecting the best location to look for properties? 

We are stable long-term tenants and would prove to be a good investment choice.

However, due to very, very high cost of living in Silicon Valley, and difficulty buying a reasonably sized home, and given I will remain in Bay Area long term most likely (family all here), also need a property appreciation strategy to some extent, too.

There's definitely a learning curve but as long as you're prepared for it all both mentally and financially, it can be extremely rewarding.Also starting up my first STR here in CA soon... just my ADU we're almost done with at our primary.

What would the next steps look like in terms of finding partners, financing, and handling zoning or permits?

As a buyer, you're less likely to get the terms you want, you may pay more for a house than it's actual value, and you may lose some of the offers that would have won.Buy now, refinance later (if that makes sense for you).

If he does take you to court, how long before enough cases with similar stories as yours are before the court?  

You’ve got to attract investors who believe in your mission, understand the risks, and are down for the long haul.