But, you need to understand the intensity, time commitment, capital needed, and skill set required.  

Fix and flip is too capital intensive and relies on being able to find a retail buyer so it's arguably more risky than a slow flip.

This is something I would have to dig into your background on to properly advise on which asset class might be better for you and also how much management intensity you desire and/or can handle.3.)

The only way to learn that lighting is hot is to see it catch a tree on fire.

First you need to learn to separate the following:Maintenance: usually things related to wear & tear or tenant damage.Repairs: usually broken items like doors & windows, caused by tenant or nature.Capital Improvements: usually expensive things that wear out: hot water tanks, furnaces, roofs, etc.The seller is correct that Repairs & Capital Improvement items should not be a factor for awhile (ALWAYS get your own inspection to confirm).

STR regulations have been a VERY hot topic here for the last year (and even beforehand).

STR even more than LTR are management intensive and the host can make or break the ROI. 

I used to have one many years ago and it never got very hot.

Jersey City is hot right now but like I tell my clients the majority of the time I can find them deals that make more sense in Essex County but that depends on the client and what their needs are along with their comfort level. 

Real estate is a very capital intensive industry and if you do not have the money the odds of success are very low - it is no different than starting any other business - how many people do you know are successful when they start with zero?