In addition due to prop 13, the tax base is a fraction of if it sold today.   

While I can contribute some capital and sweat equity, I’ll need a partner to bring in additional funds to close the deal.Here’s where I could really use your advice:1.

I do not see that home prices have dropped 2-3% and this is a lot of added savings in additional to a downpayment if so. 

I'm a big fan of value-add opportunities, whether it's buying something currently undervalued & fixing it up to my standards, or buying something that has additional income opportunities that have yet to be incorporated. 

Questions like this often get better and more actionable responses.Also, keep in mind that while this site is an incredible resource, opinions can sometimes come across as blunt.

 @Bill B. in addition, the TAR seller disclosure form in Texas also asks specific questions regarding insurance claims and if the proceeds were used by the seller to make the repair.

Additionally, there’s always a risk that any pet-related damages could be hidden under furniture or otherwise concealed, potentially leaving us to cover the costs if the security deposit is fully depleted by other expenses (e.g., damages or unpaid rent).

Additionally, the price point is still cheap enough to find the 1% rule and positive cash flow and it's super landlord friendly.

But keep in mind if your using money you cant afford to get back then buying action property might not be appropriate for your current endeavors and its better to just buy open market were you can do proper due diligence and know you have a build-able site.

Quote from @Kyle Schachsieck: Thank you all for the information and additional resources!