investment advice - why you would pick 1 vehicle over another

[Kate Weinberg]

i am at a crossroads in my investment evolution if you will, and am wondering why you would pick 1 investment vehicle over another given your experience. i am have been ready to move on from SFH for some time, always believing the natural evolution would be to Multifamilies. With the pricing, the involvement of institutional money, syndication, etc, i had been turned off from that vehicle. i have been trying to broaden my horizons onto MHP, Self Storage or RV/Boat storage, possible, apartment development (out of my wheelhouse, but why not learn? I have contacts/friends in the space) or even recently been speaking to some commercial contacts about warehousing/industrial investments. i have a property being listed soon that i will need to 1031 and put into some other vehicle, hence the urgency. my fallback is to invest in cash cow little properties that i have found in a small city that have great returns, for which i will NOT manage. This is going backwards on my goal of getting out of SFH, but income is income. i guess what i am asking, is, speaking from experience, how did you know it was time to jump into another vehicle of investment, and is commercial investing really that much more lucrative than owning a bunch of small cash cow SFH's? i just don't know anything about commercial bc i have never dipped my toe in. These SFh's seem so.....safe. And if you would jump into commercial, which "vehicle' would you pick? ie warehousing, self storage, mfh, etc. Thank you for imparting your wisdom.

[Nathan Gesner]

Quote from @Kate Weinberg:

i am at a crossroads in my investment evolution if you will, and am wondering why you would pick 1 investment vehicle over another given your experience. i am have been ready to move on from SFH for some time, always believing the natural evolution would be to Multifamilies. With the pricing, the involvement of institutional money, syndication, etc, i had been turned off from that vehicle. i have been trying to broaden my horizons onto MHP, Self Storage or RV/Boat storage, possible, apartment development (out of my wheelhouse, but why not learn? I have contacts/friends in the space) or even recently been speaking to some commercial contacts about warehousing/industrial investments. i have a property being listed soon that i will need to 1031 and put into some other vehicle, hence the urgency. my fallback is to invest in cash cow little properties that i have found in a small city that have great returns, for which i will NOT manage. This is going backwards on my goal of getting out of SFH, but income is income. i guess what i am asking, is, speaking from experience, how did you know it was time to jump into another vehicle of investment, and is commercial investing really that much more lucrative than owning a bunch of small cash cow SFH's? i just don't know anything about commercial bc i have never dipped my toe in. These SFh's seem so.....safe. And if you would jump into commercial, which "vehicle' would you pick? ie warehousing, self storage, mfh, etc. Thank you for imparting your wisdom.

If SFH is working for you and you enjoy it, stay put. You can always spend time learning about other vehicles, but stay put until you find one that interests you and meets your goal. You can make more money with less work through commercial buildings, self storage, or mobile home parks, but they are different animals. You need to learn how to find them, fund them, and manage them. You may end up making an expensive mistake. Or maybe you'll find a home run!

I bought a self-storage facility last year and I like it becuase the cashflow is much stronger. However, I know more about residential rentals so I'll probably stick with that. I could make more money with a different vehicle, but I'm not going to stress myself trying to make it happen.