Where to invest 100k?

[AJ Anderson]

Hi everyone- first post here.

My wife and I recently did a cash-out refi on our home in Los Angeles and are sitting on a decent chunk of money with the goal of investing in some property. 

We initially were purchasing a condo in Hypoluxo FL (close to family who are RE agents, contractors, etc) but seem to be falling out of escrow due to appraisal issues.

We have some familiarity with markets in central WI (I'm from WI and the company I work for is there), Asheville NC (family), Nashville TN and the West Palm Beach area of FL (fam live there). We're trying to figure out where to invest and what to invest in. We're ok to make longer term investments but ideally cashflowing a small amount now. Not afraid of rehab work. 

Multi-family? Commercial? What do you guys think and what other info might you need to help provide advice?

[Brad Jacobson]

Hey AJ, I love the dilemma and frequently visit this decision in my own life. Here's a few thoughts I hope prove useful to you:

1. If you're goal is cashflow (try to leave W2 work, retire early, etc.) then I recommend a short term rental.  They cashflow better and give you a fun place to visit when you want.  You can also potentially qualify for a 10% down second-home mortgage.  That definitely beats the 20-25% that currently is required on most rentals

2. If you want instant equity (quicker build net worth) then I recommend buying local fixer-upper and managing a rehab. This will also help you get some of your investment back immediately unlike buying a turn-key STR

3. I own a few turnkey rentals (traditional) in the mid-west and the lack of appreciation and lower cashflow (due to the PM managing all repairs at a premium) has steered me away from buying more. I love the high cashflow of my STR and I love getting the big paycheck at the sale of a flip or cash-out of a BRRRR.

Hope these thoughts help!