We have our own Puget Sound area here (it's called Austin) but other than that, there are major cities and mid-size cities where you can find a nice blend of cash flow and some reasonable appreciation.

With that being said, the two can be blended through REIT investing which is liquid and scalable, but has historically outperformed major indexes. 

Note these three educators (who I hold in extremely high regard) concentrate on blending the note business with buying/selling single-family houses and other real estate.Kent

If you're seeing the flat earth and then the house, the lean will be fairly noticeable, however if you add a middle transitional layer, you will do a much better job blending it all together.

I would be careful trying to blend LTR and STR in one property, especially with shared walls. 

If you use a lot with your HELOC then you should look at your blended rate and realize that overall you're getting ahead.The main goal is to close your deals.

The initial loan at 100% would certainly be tricky, but there are a couple HML that I know of that kind of blend the line between HM and Conventional Underwriting conditions that make 100% possible.

You can blend the transition by having the treads of the stairway matching the dowstairs, and the risers same as the second floor, or vice-versa.

Most deals do not fit a specific textbook strategy, they were hybrids or blends of multiple strategies. 

I like to shoot for a nice blend of both, and I don't expect either out of the gate but plan for a few years out and look at it as a marathon not a sprint.