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Updated over 10 years ago on . Most recent reply
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If you had $100k, how would you invest it in RE
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Fix and flip is a business where income producing properties are an investment. So the first decision is whether you want to invest your money and have it generate a return (rentals) or whether you want to use your money to start a business. If you're going to fix and flip realize that is an active business that requires you to turn the crank to produce income. It is, in a very real sense, a job.
Investments, OTOH, produce returns with little or no effort on your part. Bank CDs and mutual funds are essentially zero effort. CDs have essentially zero risk, but only a small return. Mutual funds have more risk but have the potential for a higher return. Rentals are like those. More work to buy than CDs or mutual funds and more work to operate, but the return is really coming from your investment.
I wouldn't recommend starting with an apartment building. Start with SFRs and cut your teeth there. Easier to buy and sell and a smaller scale to operate. If you're an experienced landlord, though, and want to scale your investment up, an apartment building has some advantages and disadvantages. There are a number of threads that debate the merits of apartments vs. SFRs.
In part it may depend on where you want to invest and what sort of deals you can find.