One property in Bay Area or multiple out of state?

[Tony Luce]

If you had approx. $150k to invest, would you put say, $20k down on approx. 7 properties out of state (I live in SF Bay Area where that is impossible to do), or would you put it all in for 20% downpayment on a triplex in the Bay Area in a B area, and live in one unit and rent the other two out, which would cover the cost of the mortgage.   Investing in option A would be more cashflow, and option B would be more long term investment. I know this is a vague question which needs more details, but was hoping to get a general opinion without having to drill down on exact numbers for both scenarios, as it is a bit hypothetical at the moment.  Thank you.

[David Faulkner]

Which investment would you have more control over? Which investment would you be able to assess and mitigate risk on better? Which investment RE market are you more familiar with? Which market would be easier to build a professional network in? Which investment would you learn more from and improve your investor skills from more? Which investment would you be able to control your operational and rehab costs on more? Which investment can you take your time to really hunt for and find a really good deal on? Which investment would you be most able to manage a rehab on to force appreciation? Which investment would you be able to spot and address any problems that pop up sooner and easier? Carefully consider the answer to these questions and it becomes a no brainer IMO. That is not even considering long term vs short term. Also, I disagree that option A would provide more cash flow in the long term with rent growth considered.