Appreciation vs. cash flow

[Account Closed]

Has anyone been successful buying a hip condo right downtown in an up and coming city at the price point of around $150-200k even though it is cash flow negative? Specifically, I am asking people who purchased for the sole intent of renting it out. Not people who purchased it as their primary residence and then rented it out once they moved away. I know that appreciation is a gamble, but if a city's economy is diversified and there is a finite amount of land in the prime location that is downtown/waterfront then chances are it should appreciate, right? I mean I am amazed at how expensive some condos are going for in places like Indianapolis and Boise for example compared to the prices just a few miles away from the city center. 

[Lane Kawaoka]

Oh no. Let the great cashflow vs appreciation battle begin...

My opinion is to define your goals first. For me it was getting cashflow so I could leave my job as an engineer. So it was cashflow so I invested in no appreciation investments with cashflow.