You can gamble on the hope that the appreciation will continue and you'll look like a genius in 5 years or there could be a significant market correction between now and then and you're apt to find yourself in a real jam. 

You can put any amount down to make it easier to justify house hacking or maybe it is an investment and you pay more and gamble on price appreciation.  

I am no expert on Tax certificates either, however, I know that some are a gamble that the owner will never redeem and the investor will get the house (for $2500 in this case).DD is crucial! 

If the question is being asked, the investments are closer to gambles and that 500k is at risk.  

Sell and find another deal or hold and gamble.

Then I would say that Agent/Broker is ENTIRELY honest.BUT, if you just make the statement about Appreciation and leave out the Statement about Cashflow, that's only being 1/2 truthful.Both Cashflow and Appreciation is not "Gambling."

It's a gamble .Do you feel lucky, today!!

It's a gamble and a risk and sometimes pays off but i would shy away from that for any investor short of the seasoned pro that is aware of the risks of the gamble and more importantly, has an exist strategy if the due on sale clause is triggered and exercised.

your net worth is higher in the scenario with the 15 year loan because you are building equity through debt paydown. the fallacy here is that equity is not realized wealth, and can disappear in an instant. if your home is in a town whose economy is supported by a factory, and that factory closes you could lose 20% of your property value. if you purchased based on cashflow, you will have made money over time, but if you purchased based on the idea of building equity, you just lost your shirt.purchasing with the intent of cashing out in a few years with equity is similar to gambling on your property values. if they go up, you win, but if they go down you lost it all.if all is well you could even invest your extra cash flow from the 30yr mortage back into principal payments, and your debt would be paid down essentially the same as a 15 year loan, but once you take out a 15 year loan, you cannot lower that mortgage payment

With the leverage route, the investor was simply speculating, betting, gambling or whatever term you feel comfortable with, that market would go up or just betting on more cash flow per unit.The key difference is, although you spent $100,000 in both instances, you have $0 debt the cash route but $400,000 debt the leverage route ($80,000 * 5).