@Rodney Buford, once you've got none of your own dollars left in the deal (usually after refi, if you've been clever/wise), then even $1.00 positive cash flow per month can be considered "infinite returns"!

I will have to look into more ways to make a return on my money real estate or other wise.

Would you accept her if you are looking for a tenant (behavior wise) because it ends there if you wouldn't , she has to find someplace else. 

Maybe would it be wise just to focus on buying the property and worry about the refi later.

@Adam DrummondAdam, your profile tells me you've been in the business for a bit, but still, word to the wise -- respirator with organic vapor cartridges is a must when working with oil-based poly.

This is a wise policy. 

5) When it comes to investing in real estate, you have to research various strategies and  start with one that makes sense the most for your personally (time-wise, financially and personally).

I would also say that cash flow wise, I would want to stay below 200K and probably closer to 100K-150K where the majority of the rental demand is in DFW. 

We would like to purchase a SFH in the area and my question is this: In the long run, what would be more financially wise, holding onto our current property and scraping together a small downpayment for a less expensive SFH or selling our current property and applying a $100,000 downpayment toward a larger SFH?

Aaaaannnnd a couple 'word to the wise' disclaimers: If he does go the rental route (either DIY or turnkey) I would strongly advise him to stick to properties in solid B areas.