Tough market - Hoping to owner/occupy buy and hold, rehab.....??!

[David R Broderick]

Newly returned to Utah after 20 years absence.  We are living in Heber City, and my wife and I both work in the medical profession.  Heber is extremely proud of their dirt right now, so we're realizing we may have to spread our wings.  Our search for our own residence has morphed into a desire to launch into investing.  Our 15-year plan is beginning to formulate, which is looking like alternating between keep and flip.  Right now, our hope is to find a 4-plex in UT County that we can owner occupy.  BUT... the numbers are extremely tight!  Take the recent 4-plex that sold for $550k in Orem.  "Simple cap rate" was about 3%!  Crazy numbers, and not terribly tempting!

So, what is a realistic target in this competitive market? How do you find something where the numbers still work? I'm also trying to calculate what to expect for property tax, insurance, and PMI. Do you'all use a certain estimate for monthly expenses? How about vacancy rate?

WHERE is the best place to look for a deal?

We're thinking that we will probably NOT stretch for a 20% down, because, even though it will eliminate PMI, it will sap our precious, limited resources. Advice on that - or any good articles to compare 5% down vs 20% down?

4-plex numbers are penciling out time and again stronger than duplex.  Haven't considered larger units at this time.

I'm so grateful to have this site as a resource!  I hope to find the time to research more and attend some meetups.  Very appreciative in advance to any advice for the neophyte here!

THANK YOU!     -Dave and Denise