Option 2 seems like a more conservative approach but may take BRRRRing off the table so you will need to save longer to afford the down payment on the next property.If you haven't done it already I would run all of the contingencies through the BiggerPockets Calculators to see what will give you the best bang for your buck.I wouldn't get hung up on the fact you've never BRRRR'd, nobody has done it until they do it and plenty of people out there have proven that it is possible.

A big issue when prop 13 was up for voting was also that property taxes were going up so much so fast that the elderly were being taxed at a rate that they could no longer afford to live in the home they had lived in for decades. 

And obviously you can afford the monthly before your new loan closed.

I think a lot of new investors look at the allure of STR and see the big revenue numbers and forget how much damage your house and your furniture and your furnishings will take with guest after guest after guest staying in your houseIf you let your house and the furniture and the furnishings fall into a state of decay, what originally started as a big moneymaker will instead become a constant source of guest complaints and bad reviews and headaches and sleepless nights (for you & your guests!)

We know we may have to grab it outside our local area due to the high prices of California so we are studying Bakersfield, Patterson, Visalia, Monterey County which are more affordable markets since we are very familiar with those areas. 

I will be paying the initial amount only, and I don't want to be the only responsible person for the future maintenance or customization charges(I don't mind being a part of the same, but can't fully afford the entire cost!).

As it turns out, I was not able to afford the rehab for this property.

Perfectly insulated between NYC and DC so prices are affordable.

If you’re looking for affordable growing MSAs with plenty of B class housing stock try: San Antonio, TX Columbus, OH Orlando and Jacksonville, FL Charlotte, NC

Meanwhile, rents for the city’s most affordable Class C and Class D multifamily units remain largely unchanged.