Even if the value does go up it is unrealized gains.

, LOL), as a passive investor I invest in syndications (primarily my own), I hold some land for future value, and I invest in REITs.  

For something that is truly passive, the cash flow is less.

My plan is to utilize the 5% down payment available through conventional loans.I would essentially mega-commute for the first year or two, working about 10-day stretches and then having equal time off, using my PTO strategically to gain more time off.

Risk tolerance is fairly low as I'm still gaining experience.So far, having trouble finding properties that meet 1% rule or seem to cash flow.

You definitely want to check with your CPA, but in my state, if you lived in the home as a primary residence for 2 out of the last 5 years, you will not have to pay capital gains tax and can roll that equity into your next property.

If I was just starting out and needed to gain cash but had little to no cash to start there would only be one route for meThe good thing is that this is the same route I would suggest for anyone getting started.

Originally posted by @Nick Gaines:@J Scott - Does your book come with digital spreadsheets?

This way, you can get a sense of the market and gain experience with your first property in that area.

Don't forget transaction costs, seller concessions, vacancy loss if you sell vacant (which you should), capital gains taxes on the profit if there is any, etc.