Still looking for a property, but thanks for the advice to check the HOA for any potential restrictions.

I want to present this to a potential lender, but I want to get some opinions on my plan prior to having the conversation.

You may not notice much of a difference between the 2 properties. 2 vs 5 acres is not a significant difference from a purely land area standpoint but a larger property should have more privacy and potential uses.

There are a lot of scenarios that could potentially come out of this.

Your network is the most important piece for any potential returns when you invest out of state.

Keep an eye on the market trends and potential neighborhoods for investment.

Members here might have great insights on market trends and potential hotspots.

Then it is beyond me why you would consider selling a high appreciation, positive cash flow, reduced property tax So Cal to potential purchase a higher risk OOS property that would likely be lucky to make a few hundred dollars a month per unit in this high rate environment. 

I've heard about that strategy before but honestly I don't have a huge issue with managing it and don't mind footing the start up costs for furnishings and everything, just more so curious to hear if the demand is there and what the potential returns are.

Rents seem to range from $1400-$1700.Open to other suggestions, we're actively seeking areas 1-2 hours from New Jersey for potential expansion.