If you were starting with 200k, what would you do?

[Richard V.]

Say you are starting with about 200k and the avg house in the area costs 150-175k and rents for at least $1200/month. What would you do?

[Billy Daniel]

My 1st choice:

Find two properties that could sale for less than $100k combined, rehab, and rent.  Now I have two properties with amazing equity to draw from, amazing cash flow, and probably some sweet appreciation.

My 2nd choice:

Put a $45k down payment on four cash flowing properties (dont forget about closing costs and emergent repairs!)

My NEVER choice:

Put it all into one property (unless it was a large multifamily)!