Invest for Cash Flow or Appreciation- Which do you favor more?

[Tim W.]

I was curious to get your thoughts on whether you invest in RE for Cash Flow or Appreciation?

 In an ideal world, we'd look to get both, but with today's higher interest rates and rising home values, it seems harder for deals to cash flow. 

I've decided to focus in Pittsburgh where the Price to Rent ratio is quite reasonable. I've built my business plan for 2025 to go after Cash Flow first, appreciation second, in B and C+ areas. But I also realize many people choose the direction of Appreciation first.

In my hometown market (not Pittsburgh, but central NJ area), few small to mid size multi family properties could come close to cash flowing positively. People seem to buy mainly for appreciation, but I'm not sold appreciation will continue to rise the way it has the past 5 - 6 years, so feel like CF is the safer investing avenue for me. Would love to get everyone's thoughts!