Larger Down Payment for "Cash Flow"

[Jimmy Humphrey]

Hi

I am new in real estate investing and was looking to one day buy a SFD in my area.  However, the "2% rule" seems totally shot in my local market. Looking at several online tools and doing some comps on Craigslist, it seems that the only way to generate a positive cash flow is to have significant down payment on your property so you can get a cheaper mortgage (30% plus).

My question is would you ever be willing to put 30-40%+ down on a home just to generate a larger positive cash flow on a house. Or sometimes are you happy just to "break even" at first, knowing that in a few years you can refi, or that rents will likely rise, or that within several years you can probably sell the home for a profit?

I would like to hear your thoughts. Thanks,