Also, I now recognize my mistake in not carrying out background screening.

Series LLCs are not recognized in CA, so for each LLC you create, you will be paying $800. 

Recognizing great deals and instant equity.

I recognize you from one of the meet ups at 49th state.

I have met Dale Huber on many occasions and he is genuine and easy to work with.

I recognize that but you do not seem to recognize the opposite.

So the multi's on the same side of the street are recognized to have a legally established non-conforming use or to be "grandfathered".It is possible that the seller, by converting it to a single family, voluntarily abandoned the multifamily use. 

At what point does a flip become an investment property in the eyes of a state / tax (how long do I have to hold for it be recognized as an investment property)? 

Now you still have to qualify otherwise for the loan, but assuming you would, then that's the easiest route to take.Now, to provide some context, generally speaking there are 2 main types of loans for investors: “Conventional” and “Portfolio”Conventional - I'll define these as loans that come from Fannie Mae and Freddie Mac (if you recognize those names).

Even though I recognize the chance of being sued over a RE item is small, I have (and pay for) the umbrella policy.