Many CA investors find the Reno Tahoe, NV market appealing  because of the various strategies that can be implemented like buy and hold STR or MTR and the close proximity to CA. 

We want to hold long term so we feel pretty confident about the purchase.

I document with pictures, give the tenant instructions on how to pay me, and hold the property for XX days (check state law).

Plus I like to have tangible assets that hold value over the long run in good times and bad.

It does not have a lot to do with birth rate, it is the number of house holds. 

You are what they are looking for: Liquid, with great credit and lots of experience.Cause at the end of the day most of these loans are securitized and sold off to groups of investors who actually hold the paper. 

My thinking was that it could possibly be more attractive for a tenant looking to go week to week, or month to month, without needing to put as much down for 1st, last, and security, and at the same time I wouldn't hold the risk of a bad tenant being stuck living there with a 1 year lease.

The objective- Establish some boots-on-the-ground support and potentially some partners.

I won't be investing in the riskiest/most supportable asset subclasses such as hotels, and tilt my portfolio the ones that have historically been more stable such as multifamily and single-family housing.

I've heard the LA market can be very tough from a rules and regs perspective, some great resources here for "long distance real estate investing" that may be helpful if you are looking to get started in a lower cost more stable market for long-term holds