Two that come to mind is a multi unit medical building with some rents as high as $4k/mo as well as some higher end single homes renting for $1,400/mo+.

I would recommend diversifying three ways:1) capital stack location: debt versus equity. 2) commercial versus residential (you can invest in single-family homes through passive investments as well)3) commercial real estate asset class types (mentioned by others such as medical, fast service restaurants, retail, etc.)Each of the different choices has a different risk reward profile, so it's important to first understand what those are, then take a look at your own risk profile, and then come up with a game plan of how you want to structure your portfolio for diversification.

You missed the big picture why there will be more layoffs.So outside of commodity export, most USA exports are tech/medical produced, mostly IC/semiconductor.With the dollar strengthening to even make the pound sterling at 40 years low now,  no country can afford to buy American products especially when the supply chain is also disrupted. 

Bad credit due to some medical bills (Willing to put down 2x the my standard deposit).

Where there is some additional questions are whether items like health insurance for myself and my wife (the premiums not the actual medical expenses) would be considered part of this overhead (in the past we HAVE NOT put this into the "cost allocated" calculations for Sch E but instead listed them in Sch A.

Unexpected medical bills, student loans, having kids, etc.

Cleveland is home to over 600 bio-medical facilities and over 60 hospitals!  

And, considering the cost of health care, I want to be able to afford quality medical care.

Medical is the biggest business outside government, but I doubt people will stop getting sick.Your tech bubble might pop now that we all know the Apple CEO has added his brick to the wall. 

It's a transitioning area adjacent to some of the most desirable areas in Sacramento including Midtown,  Land Park, Curtis Park and the UC Davis Medical Center.