(loan balance of $246,500) - I will get to how it's a low down payment option in a moment...Once owned, rent for an amount sufficient to pay the mortgage.  

If you caused the snow then you are responsible, unless you gave sufficient notice you were going to make it snow.

The reason banks require 20%+ down is that they want to be sure there is sufficient reason for you to keep paying.

I've got maybe $40k in equity in my home so not sure the LTV is sufficient for a HELOC but I haven't really confirmed that yet.

Landlord may terminate a month-to-month tenancy by providing 30 days’ written notice to Tenant.A couple questions: was the notice I gave on 4/20/2016 sufficient for informing them that they would not be given the option to renew their lease and that they may not stay on a month-to-month basis either?

This is known as the self-sufficiency rule.

My $0.02 would be to find a property that produces enough cash flow that makes it self-sufficient and you comfortable.

@Justin WindhamFlorida law states that 15 day notice is sufficient but I will give 30 days notice as a courtesy.

Right now, buy n hold (w/ certain safety) betting solely on appreciation is a bit tough in So Cal unless you have sufficient equity and cash reserves from the start to protect yourself in the event of a downturn.  

I'd put more weight in current income and rental references, both of which seem more than sufficient.