With that said:If you're looking to stay in that particular area, it's probably going to be tough to find a property that fits both your needs/wants as a homeowner and the numbers that would make it work as an investment once you move on.  3bd/2ba in that part of town seem to be running well over $500k. 

in so cal it would be RARE to have a lawyer involved in this transaction @David Weintraub  we are a title and escrow stateso take out the 1k  and the two addition doc review fee's 750 and 795  those are straight to the lender for his profit side.other than that fee's are fairly standard..

@Aja McClanahan - I think you need to get an experienced contractor/architect and maybe a zoning attorney involved. 

There is a cabinet in the hallway that allows for inspection of the plumbing, and after further inspection, the joist that the shower sits on is cut to allow the drain line for the shower to fit.

If you want to get involved in the day to day & make an active business buy a distressed property cash, renovate it & refinance.

You actively participate if you are involved in meaningful management decisions regarding the rental property.I guess you can still have Management in place and still participate but I'd double check with your accountantthx,Chris

It seems as though you could work with the Seller (based on what you said, seems like a good person that wants to do right by everyone involved) to have him/her provide your lease (with the current owner's information substituted for your own) for tenant signatures, set to take effect once the current lease expires.

I feel like other investors are more aware of the market and would therefore just flip the property themselves whereas individuals are more likely to fit the mold of the motivated seller.  

See how it fits in to your life, your goals, your circumstances, your market, the current economics, etc.

Back home, that type of property would involve a lot of rehab and that is not something I am very familiar with.