However, if you were wanting to stay in a bubble area and invest, real estate might might not be the vehicle of choice at this point in time.

Went to DMV ( dept of motor vehicles) and they cannot find title to deactivate home.

now, mortgage vehicles and different mortgage companies provide investors unique loans to accomplish their investment goals.as far as gov't money or "free money" - visit the HUD site and good luck.

I make a very good income (about $2k surplus per month) and we have little debt ($17k on two vehicles and $5k on a credit card).

Also, would the vehicle you drive make a difference?

Operating expenses include taxes, insurance, paid management, maintenance, office supplies, advertising, legal fees, court costs, fuel for your vehicle (or mileage), some vehicle expenses, some education expenses (possibly depending on your business situation), etc.

Operating expenses also include management (whether you do it or not), maintenance, advertising, vacancy allowance, office supplies, legal fees, evictions, court costs, utilities paid by the owner, lawsuits, fuel for your vehicle (going to and from you rental), damage caused by tenants in excess of the security deposit, etc, etc, etc.

Also, in areas that have a high probability of positive cash flow, you often sacrifice being in a highly appreciating market.So, if you are only focused on positive cash flow, you will be paying the IRS a good chunk of your money, and you will be short changing yourself on appreciation.According to this book, appreciation is the best vehicle for wealth building in REI.

For the investment vehicle to use, I was thinking of ITB which is the US Homebuilder's index ETF for house construction projects, and REZ, the residential equity (i.e. home rentals) REIT index ETF.

I will leave you with this conclusion to my post, the reason I personally pursue loans as a vehicle for investment is because I simply love the complexity and the amount of moving pieces that are involved.