I recommend starting with multifamily if you're just getting started with limited capital.

you might say something like, "I’ve been studying Austin and Denver for rental properties and have a $200,000 price limit—what are the pros and cons of both markets?"

The type of property can influence the risks you face, so coverage limits matter.

Single family homes are usually the best as they have fewer limitations.

Some thoughts on your situation overall:In terms of vetting, I personally there is a limit to how much you can mitigate risks when working with a smaller contractor.

A balanced market is typically around 6 months of inventory, so a lower number represents a seller's market with limited inventory.——————————————————————————————————📢 Second Largest In-N-Out Burger ConfirmedIn-N-Out is bringing a retro vibe to the Strip!

A stress-free life is the best life.Why have 100 properties when you can live the lifestyle you want with less houses that are paid off.A paid-off house also is one less obligation that you have, no monthly mortgage payment that you have to worry about.

What if they build just outside the city limits, so they are not paying city taxes?     

@V.G Jason It is true that a duplex limits your rental pool. 

So my limited experience with a new build did not yield cap ex expenses with what you are proposing.