To put it in perspective, there are about 660,000 AirBNB listings and a total housing stock of 83.3 million single family homes.https://www.stratosjets.com/bl....https://www.urban.org/sites/de...And many of those airbnbs are for renting someone's home while they're not there or an extra room or what not.In the same way I don't think a motel owner is under any moral obligation to convert to a motel I don't think there's anything wrong about using your own property as a short term rental despite the housing shortage. 

The home only needs new floors and a fresh coat of paint, but is in pretty good condition.

From a financial perspective, this is brilliant - you put $5k down on a $50k vehicle, write the entire $50k off, and receive $20-25k in tax savings.

I'm hesitant from the perspective of the high crime in the area but somewhat bullish on the development of the area.  

Thanks Form tax perspective, your LLC can make payments directly to bank and get tax deductions or you making a payment will qualify for deductions as well.The SMLLCs are disregarded for tax purpose, so both ways are ok. 

How should we structure the deal from a financing perspective?

Just looking for some fresh ideas and what you moves you make or  purchases you would make if you had similar finances. ( and to make this more clear, this is a long term play ( 20-30 year buy and hold): Ideas must be centered to sacramento/ bay area region: What cities to you feel are still the most undervalued in the bay area/ sac region:?

Take that money and put it into things that pop i.e. front door, landscape, fresh paint, appliances.

I'm an active investor in Houston and also a real estate attorney so I can give you another perspective in real estate. 

Additionally, when qualifying for the loan, you will need fresh appraisals on all properties that will be cross collateralized.