If you have never managed a fund or have not managed a significant # of properties, in todays environment I would be very cautious.

The ones saying do it your self is option you should think about it  ,Rule 1- you live and die be your lease get a strong one written by a Lawyer in the sector don't try to save money here .Rule 2- get a good 3 party back ground company that covers all the bases .Rule 3- keep the communication  channel open with the tenants that means no surprise  because you were on top of the ball .Rule 4 -the rent is do on a date ,for the small fishes you may be able to pick up the rent that keeps them on their toes .If the rent is going to be late we talk about when is up to be paid  I need exact times not general ideas .

In high-rate environment, with double digit interest rate and high inflation, you lose money and make the lender cash-flowing (not you, you're literally suffering).

We are also in a much different lending environment than we were just 6 months ago.

some have winter attractions (skiing, ice fishing) that draw some. 

The regulatory environment is way better.

> What additional considerations should we have in analyzing potential deals given California's tenant-friendly legal environment?

From an active standpoint, SFR's aren't as profitable in this high interest rate environment.

I think you need to keep your business in the sun all the time anyway. 10 years from now, the market might be completely different and new strategies will be required to take advantage of the environment. 5.

There is no way to know exit prices for a project 1-2 years from now especially given the current environment.