SFR Buy & Hold Cap rate or cash on cash?

[Amanda N.]

I’m looking at a couple properties out of state (Alabama, Tennessee, Indiana) with turn key companies because my California market is crazy expensive. I know I’m going to pay market price or slightly under. The properties are 100K and under so I know appreciation will be low but rents are good. The properties are already rehabbed and in A/B+ neighborhoods. All the properties positive cash flow leveraged with 20% down. When I’m looking at returns is it better to look at cap rate or cash on cash? What do most buy and hold investors look at? Thanks!