I settled on a price factoring in the seller paid closing costs. 

You'll pay a balance transfer fee if you want to take out cash rather than do purchases but at ~3% the money is still basically free once you factor in inflation.

And because California is so tenant-friendly, it can be extremely difficult to evict a tenant who does something blatantly worth eviction, so good luck evicting just because you want them out.The only two options I know of for getting rid of a rent-controlled tenant are:The new owner of the property can pay one of the tenants to leave (amount is set by the city, usually somewhere ~$10k depending on different factors) if THEY (the owner) move into the unit themselves.

If it makes a positive cash flow since day 1 price is not that a price should not be the only determining factor in a long term investment.Are their any leases with the existing tenants or does it have any obligations that you would become obligated for. 

Once you go a few years out it becomes hard to project as there are too many factors that play into it.

@Mahmoud Tellou the only thing HGTV is really good for in the flipping business is letting you know what design style buyers are looking for.

I'm not saying don't do it, I'm just saying make sure you consider all factors and if your numbers long term are realistic. 

I used to do, and sometimes still do, HVAC and plumbing design for commercial projects.

TURN OVER kills landlordsfor me if I get a tenant who is good ( when I had tenants) I NEVER raised rents longevity and consistent payments over years of tenancy will beat turn over and raising the rent 20 bucks every time.. plus the simple hassle factor.. that's worth more to me than a few hundred bucks.

Factor in any debt on the property, utilities, furnishings, etc.