Or what business type would best facilitate growth to eventually manage a large portfolio and provide comfort for investors and ourselves? 

We financed a very large air B and B in big bear with tons of views and amentities the revenue took a 50 percent cut.

When the event happens, scaling to the point of leaving the day job to managing a decent portfolio of buy hold rentals for consistent passive income.My current line of work is in the coffee industry, managing and developing teams globally for a specialty coffee company and more or less living on the road as I help launch cafes from New York to Kyoto.  

Don't be fooled by the name, it has become a very large group of HA/VRBO owners.Mike

I am currently self managing my properties, but as I scale, I know that won't be a possibility at some point. 

I doubt he'd be trying this of he was renting in a large complex with corporate type management.

However the monthly payments are still considerably lower than what I can afford, and I am also largely financially independent at this point in life.I scrimped and saved til about age 37....now I spend pretty freely as even doing so I have much more coming in than going out.

Moving into real estate both as a job and new career path, currently in classes to get my agent's license.Okay, now the long version, it's largely for myself, and to organize my thoughts, so don't feel compelled to read. 

Seller likely does not want to 1031 exchange into another property, wants no management of the property anymore, and wants a somewhat passive income stream from holding the note.If you pay him 15% down that is a large chunk of change.It's different if they are financing close to 100% with 5% down and non-recourse loan.

Welcome, @Julie BaekYes, SoCal can be a tough nut to crack for newbies.A couple years ago I mailed out lots of letters to homeowners across LA County with no luck.Then I tried rural Kern County and got a deal from a distressed homeowner in California City.The margins were not as large as they would've been in LA or OC, but I was able to rent it out for 2 years before fixing it up and selling it for a decent gain.Also, have you considered an owner-occupied small multifamily for your first deal?