Which is better in your opinion

[Alana Reynolds]

Looking at two potential ways to buy real estate for long term hold rental. 

property A 

assume the loan on a property with no equity at 6% interest rate. Rent out and break even. Very little out of pocket cost. 

Property B 

Assume the loan with 4-5% interest rate, pay difference in equity $70k and pocket 300-400 in cash flow every month. Property paid off in 20 years.

What is more important? Saving your cash and using more leverage or puting more money in the deal for immediate cash flow?

[Nicholas DiSanti]

A - in my opinion. Build equity over time and take advantage of tax write offs and appreciation. 

3-400 a month on a 70k investment is a 5-6% cash on cash return - you can get that in a high yield savings right now, and, that's objectively a lot of cash to shell out. 

Yes, 0 cash flow is a negative CoC return, but, if you're just paying costs to close the loan, you keep all your cash and put it somewhere else.