I find that the one percent rule is merely a way to scan (mostly on market) properties to see how close they are to cash flow.

If you're thinking of Nevada the Reno market is very strong with appreciation and close enough to the Bay area to reach in a day. 

We close on our third rental property next week, and are excited about the way forward. 

@Megan Branson I am also from CA and just closed on my first property in Cleveland. 

Yes, but I've heard you have to double close because of regulations.

Quick close.

Overall, I would keep in mind that you'll likely need to look at/review 100 deals to find that "1" that works and your close on... so volume is key.

For distressed properties I intend to keep as rentals, the buyer pool is greatly reduced and being able to close cash and waive inspections provides a lot of negotiating power. 

Your rental estate agent already abandon you after you closed the transaction haha :) lol16.

Maybe that is not even good idea, but perhaps better chances of success and maintaining a relationships.Probably NOT what you want to hear, but if you're making $125,000 and you don't have the discipline or willpower or willingness to save for the down payment and closing costs on property #2, then what will you do if things go south..like your tenant doesn't pay rent, you have 3 months of vacancy, or the tenant destroys the property and you need to rehab?