I was told here and there that renting out a SFH that has keyed entry bedroom door knobs (standard single cylinder and turn-button on the other side) is a fire hazard and against some kind of code or, if not, makes you liable for fire hazard dangers. 

Find a duplex on the MLS that is a cosmetic fixer or fairly turn key.4.

You can't really wholesale something that is turn key or close to it.

I offered him $600 cash for keys if he was out in two weeks and the place was in the same condition. 

Back in the day, I'd have a prospective (residential) buyer come to my office and I'd qualify/interview them for at least 30--45 minutes before I'd even let them get into my car.Then with the advent of online MLS and all the Zillow's of the world, information is the key for a buyer. 

The fact they are complaining online might be an indication the property manager dealt with them properly so be sure to ask the manager for their side of the story.I hope this basic guide helps.

This is a key assumption to my problem so if that is incorrect please let me know.The excel formula of course uses the syntax IRR(values, guess)For this example:- Row 1 will hold yearly cash flow for years 1-5.- Row 3 will hold sale proceeds- I will sell the property in year 5 So it will look like this:A1= 100 (cash outflow)B1= 10C1= 15D1= 15E1= 15E3 = 25 (proceeds from sale of asset)Here is the formula I am using to calculate this=IRR((A1:E1,E3))This will return a value but I am not sure if it is the correct way to calculate this because I am not sure how Excel is interpreting these flows with regard to timing.

Are you looking for turn key houses to rent, or distressed/ fixer-uppers to buy low, renovate and rent out. 

@Lee Ripma is correct - as a California resident actively engaging and managing an LLC from California, California will declare nexus and require a registration, a tax filing and a minimum $800 fee each year.Marketing into other states may or may not create nexus (depending on each state's laws, so look them up) and need to register/file in that state, but as @Wayne Brooks indicated, you will most certainly need to be registered in any state where you want to sign contracts and otherwise conduct business in that state.From each state's point of view, anybody who wishes to sue you must be able to do so in the state where the transaction took place so you must be registered in that state with an agent who can accept legal service on your entity, should the need arise. 

I am interested in investing in the Florida Keys, particularly for short term rentals.