When I ask these same people what their strategy would be during a downturn, their response is typically that they will tighten their belts a bit and hope for the best.

@George Blower @Brian Eastman @Carl Fischer @Dmitriy Fomichenko Thanks, Dan Dietz

There’s a couple key differences but knowing how and when to use either one is an extra powerful tool in your tool belt. 

@George Blower Thank you!

My first duplex is now under my belt.

I just want a property under my belt to start generating income from.

I'm a fairly new (2 years) investor with a few flips under my belt. 

As time goes on, rent growth will outpace expenses, but you also don't cater to the tenant class that is the easiest on rentals. 100 yr old homes in C class neighborhoods in the rust belt are a dime a dozen, so unless there is a seismic shift supply and demographic trends, I wouldn't bank on appreciation above the inflation rate of 2%. 

Business formation could be an easy, low-cost tool in your belt for the future.  

The hard money lenders all say I need 4 flips under my belt before I qualify.