The other day my uncle received a $1 bill in the mail from someone offering to buy his house --- I bet they used your Property Search feature to find him (100% equity, in a very desirable market of California, purchased back in the 80's).  

Hope that helps.Couple other things you'll want to think about too if you haven't already-- owning real property in another state will very likely subject you to income tax in that state such that you will also need to file a Kansas income tax return each year in addition to California.

However, in CA with the annual franchise tax of $800, additional LLCs are relatively expensive.

My other option would be to buy a 2 or 3 bedroom single family and rent the additional bedrooms.

If you "jack" the rent up (even if you find a tenant willing to pay it), typically the appraiser will not give credit for additional value above and beyond what market rents would determine.

Sure people get notices but they get calls, door knockers and agents in addition to direct mail by the truck loads especially if there is equity. 

In addition to needing a pre-qual, I want to familiarize myself with a hard money lenders' requirements and processes, so I can jump when I need to, now or in the future.Does anyone have any recommendations?

Another thing I'll add is that if you look at their tax returns, I'll bet you will see that she isn't paying taxes on a lot of her retirement income. 

We ended up backing out of the deal cause the additional cost to the deal at that time.  

In addition, you might look at this thread if you are still considering investing there as a counter perspective to what has been posted.Obviously you can make up your own mind.