This probably depends on the level of sophistication of your investors, but I would consider this a kind of "incremental analysis", similar to an incremental IRR calc that could be run on a staged investment. 

So it depends on your goals and what you want to accomplish. 

Typically investment properties requires 15%-25% down payment depending if it's a single family or multifamily.

Of course, with all things, the answers to all these matters will depend on the circumstances.California tends to have more laws on the books and requirements and restrictions that it can be a good idea to form a CA LLC for out of state property so that you as a CA resident are covered, and to try to have your contracts fall under the purview of CA courts.

The Lien process is State dependent. 

Totally depends on which one.

This suggests that Strategy 2 is slightly more efficient in terms of initial capital recovery.Recommendations:Goal Alignment: Choose the strategy that best aligns with your long-term investment goals.

You may overcome the difficulties involved with remote investing by carefully choosing your target market, assembling a trustworthy team, and maintaining your knowledge.Good luck!

Hi Alex,It depends on what kind of strategy you are using.

I would say the first step is a survey, maybe geotech depending on the lot and your area's requirements, and then contact a local architect that you like the work of and feel you would enjoy working with!