It's never a guarantee with higher-end or lower-end tenants, but your risk of a bad tenant increasing as the quality of property decreases.

Win win for all involved!

I plan to move to the Austin, TX area when I graduate (1yr) and work a full-time job while involved with real estate investing.

I think the key take away here is that the Cap Rate is way to low for the level of risk even though the tenant is locked into a LT lease. 

So I just became involved with investment lending on fix & flip properties.

No one knows what will be the final legislation but any plan of a non-owner occupied STR would be risky.Even if you use the house hacking method I suggested you look into, because you do not know if you would be staying in San Diego long term, the STR route is very risky and therefore I would not recommend it but you can look into the proposed legislation and decide if it is a risk you want to take on. 

Majority of the deals are buy & hold with some flipping involved.

Great idea to get involved with RE investing early and reap the benefits of compounding appreciation, as well as cash flow.I'm a Retired USAF Officer & my Son is Retired Marine (Class of 91). 28 Years experience in Real Estate Sales & Management.

I am not looking to get involved with an attorney who will tell me anything in light of picking up the case knowing he will be paid no matter win or lose.

People seem to be scared of it but because I've group wn up there I think I'm willing to take the risk.