EVERYTHING is in gridlock be it traditional financing or hard money. 

There are plenty of traditional lenders offering financing for investment properties.

Apartments are fully furnished, you pay all the bills, in many cases you provide cleaning and transportation services.Turnover is constantYou are managing a community on top of managing a propertyCash flow can be a lot better than compared to a traditional rental

You HAVE to screen your tenants just as thoroughly as you would for a traditional rental.

It was very difficult to get traditional financing because it does not have a full kitchen.

@Josh BanksA few common picks are Rich Dad Poor Dad by Robert Kiyosaki and Millionaire Real Estate Investor by Gary Keller and team.

Traditional mortgages won't allow a wholesale or marketing fee on the HUD.

Which in my younger days was the common way to start up in RE if you had no cash and no rich uncle.

The tricky part can be figuring out how to divide up a property in these markets so that this strategy makes sense, especially if it's a single family, and not a traditional multi-family residence.

@Nathan Vaughan There are many, many projects coming in San Diego that make use of the microunit ordinance - there are some big reasons they make more sense that traditional density bonuses, along with some important ways in which don't.