first time investor dilemma

[Ricardo Diaz]

hello guys I' have a question and the most people I get is appreciated. I want to start investing in real estate and bring in some cash flow. but there is two options that I need help with. there are two locations one less desirable but still you can find some good houses but alot of choices and the prices on the houses are very low. or go to another location where is more desirable but fewer houses I say like 5 percent compared to 80 percent of houses. but the houses are twice the price . you will get better rents but pay higher mortgage. another thing to add. pricier homes have alot less taxes. as a first time investor not knowing what to expect where should I lean too first. thanks guys for the info in advance.

[Ray Harrell]

I also have to disagree with @Josh Caldwell. I own a less expensive property in a C/C- area, and "less expensive" list price often means more expensive maintenance. You will likely also be dealing with tenants who will call you for every little thing rather than an A/B tenant who has no problem doing minor repairs themselves, because for them it's more of a home rather than a rental. It's just how the mind works for people who have more resources.

Math always does work, but it's not as simple as 1+1 here. With real estate it's more like an Excel formula: "If this, then that, or that, else the other"

If I had to do it again, I would have paid $50K more for the same size property with a better maintenance history in a better area.