Better option: FHA, 203K or Cash for a duplex rental in Detroit?

[David Harris]

I am starting my journey as a real estate investor. However, I am really torn on how to start with financing. I do not mind taking out a loan, but it is scary as my wife and I already have well over six figures in school loans. We always joke and say that our school loans are our mortgage! In the Detroit area, houses are really affordable with some SFH and Duplexes only costing $1,000 (major repairs of course). I just wonder from experienced investors, what would you do? Leverage the FHA or 203K loan or save up about $30,000 cash and buy a rental property free and clear?