I also live in CA. I purchased property in Memphis TN through a turnkey seller to start. The property cash flows and hits about 1.4-1.5%. I spent $56,700 on the first property. The turnkey company I went through came highly recommended, and made the process pretty streamlined-- they do the rehabs, I worked with their lenders, they provide a 12 month warranty on the property, and they do the property management. I had a tenant move in two days after close on the first one, and haven't had any tenant or major repair issues so far. My only interaction in the past 8 months has been to check my monthly statement and make sure my wire transfer happens on time. My two properties are in B- to C+ areas. The downside to a turnkeys are, of course, that you are paying at or near full retail. The upside is that for people like us who do not have neighborhood/city knowledge, they take away a lot of the uncertainty of the process and help streamline your purchase.
Having now purchased a couple, I am considering buying on my own somewhere and trying to coordinate a rehab myself. It is challenging finding a trustworthy team, though, so the next purchase (likely May-June) is probably a tossup between going back for another turnkey or trying to strike out on my own a little more. Other areas I am looking at are Milwaukee, Little Rock, Kansas City, some parts of Ohio, and Indianapolis. I have found that even aggressively reaching out to recommended people on Bigger Pockets, etc., it's difficult to find someone who is willing to put in as much work as I am. Finding a realtor who is looking out for the right deals and calling out those which they think are worth pursuing in particular has been really hard.
On the one hand it would be easy to go with another turnkey because my first couple properties have been painfree and profitable. On the other hand, I know the remaining .5-.6% is there for the taking if I can pull off a good deal on my own. Tough call. If I don't run the next deal myself, I will certainly do so with the next, just to give it a shot.