In my situation (getting 30 year mortgage with 25%) the Cash on Cash return are pretty low.

If so there must be something I’m missing as to why it’s priced so low, otherwise I think your rehab budget is way off.

Some of the materials we choose and asked him to pick up (such as flooring) he replaced with low quality materials, I assume to keep more of our money for himself.

I have a 250k low interest loan on said property that is going to be paid off in about 8 years.

Freddie Mac also had a very low number of foreclosed multi units vs SFR in the Fannie Mae world during that period. 

Hi BP,I've heard too many horror stories on property management companies that are not doing their job properly (i.e. do not provide best advice on hazards, termites, do not try to save money when it comes to minor and major fixes around the house and in general do not act as the owner proxy and serve his best interest).From one hand, for 10% (especially on low income neighborhoods) I realize (but not understand) that I can not expect property manager to take care of my house as its own.

Mailers might work on smaller properties (success rate is super low) but rarely on bigger properties.Plus, why waste your time?

, but since each property should really be in a separate LLC, can't the root LLC be in a state with low fees / no reporting requirements like New Mexico?

It's been so low for so long that you can effectively ignore it for now and just use the 10% minimum, as defined in the CA constitution.)You didn't mention whether you secured your loan by recording a deed-of-trust.

To me, the NOI and cap rate seem low especially after you take into account a debt payment for the property.