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Oh yeah and double your property taxes and bump up homeowners insurance if it’s not owner occupied…

Since the OP specified that they are purchasing in CA, I'm pretty sure that the property taxes will not be double, at least not initially. California's Prop 13 requires that taxes be assessed based on the purchase value. There is a Homeowner's property exemption in CA that allows you to knock $7k off the value of the house, but given that median house price in CA is over $800k, that means that the owner-occupied home will pay over 99% of the property taxes of a non-owner-occupied home. Prop 13 also limits tax increases to 2% a year, although I'm not sure if that only applies to owner-occupied homes or if it also applies to investor properties. Even if the 2% limit on increases is only applicable to owner-occupied properties, it would likely still take several years for the property taxes on an investment property to be double those of a comparable owner-occupied property in California.

At least in my experience, landlord insurance is maybe 10% more expensive than homeowner's insurance, although I will point out that you don't get nearly as much personal property coverage. But since you're not living there, unless you're renting the property out as furnished, presumably, you wouldn't have nearly as much personal property that would be at risk. On the other hand, you do get income replacement if the building becomes unlivable because of a covered incident. (Note: eviction moratoriums due to a pandemic are not considered a covered incident, at least by my carrier.)

AJ
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