Investment Info:Small multi-family (2-4 units) note investment investment.

 Which city in the United States has appreciated the most over the past 10 years?

this works well if the tenant is a national user or multi unit operator who has built these buildings many times. 

If you make the purchase prices much closer, then the waterfront unit should do better.You are going to have to run the numbers.

Number of units and other things should be considered.

If you can beat the ROI you're getting on the SFR, then do it.Otherwise, why can't you buy a 2-4 unit with a 3% down FHA loan?

They have a 3 bedroom unit coming too. 

As for the areas to target, my goal in getting our feet wet as real estate investors--and since we plan to be living in Sac--is to find a property we can live in while renting out one or more units to help cover our housing expenses, which we can then hold and continue to rent out when we move.

We have been able to save up some money for our first turnkey multiple unit building.

I currently own 30 units and we do about $15M a year.