However, upon further consideration i'm not clear which is a better investment. 

I have been to the legislature and city council meetings to testify against the so-called ‘tenant protections’ that are damaging rental opportunities for marginal tenants.There is no “right answer” for you, but here are a few considerations.1.

Terms on these property types have fallen considerably in the pst 1-2 months where earlier in the summer interest rates would have been above 7%-8%. 

There also might be other legal/insurance considerations you want to factor in as others have pointed out.

It’s great that you're exploring private equity as an alternative to traditional lending due to your religious considerations.

Max occupancy is a considerable factor driving your property revenue potential. 

Remember that the more complexity increases not just legal set-up and ongoing fees, but tax prep and advising fees as well.There are several considerations that can go into the analysis of whether you need an LLC or whether a large insurance policy will suffice.

Legal and Regulatory Considerations Thanks in advance for your help!

As noted above there are many other considerations in deciding between a home that is new or existing.

Now if we take into consideration the recent cut in the Federal Funds rate and rhetoric that there is a possibility of 2 more rate cuts before the end of the year, what are you waiting for to buy your next (or first) property???????