since as part of the project you are going to need an architect and civil engineer, I recommend starting with them and ask them who they have worked with for zoning.

One of the most common mistakes beginners make is jumping into large rehab projects without having a solid team or boots on the ground. 

Being able to visit properties, oversee rehab projects, and manage your team is crucial for successful investment.Ultimately, there's much to consider beyond the initial purchase and rehab.

. —- Again I’m not saying you have to do these things; it all depends what type of investor you are and what you are looking for however it is important to understand that if you shift the responsibility of either identifying the invest property or managing or any other aspect there WILL be a trade off — in this case the turnkey company has delivered on your goal of 8-9% ROI (projected... so TBC) and in return you have traded some of the other benefits of investing in RE for the convenience of not having to do much more than to look over the properties they have sent you and funding it from the comfort of your home, office, etc. ... again if this is the goal then you are on point but if the goal is to also partake in ALL of the other benefits of RE then you should understand that and not be surprised that it’s not a ‘stellar’ investment that checks all the boxes.

I'd be willing to do small projects for free to spread some goodwill.

Most projections I’ve seen are calling for rates to stay right around where they are this year, or if anything possibly going up a little.

While traditional loans might be tough with current interest rates and no W2s, there are definitely creative financing options and strategies to consider.One possibility is exploring seller financing.

Is San Diego too tough of a market to start out in? 

The truth is that New Jersey, especially Northern New Jersey, is a tough investment market due to low inventory, high competition, and high taxes.

From there, it requires the ability to conduct underwriting the highest and best use of a planned project, which requires a pro forma built by the user or acquired from a competent 3rd party.