Purchase price: $615,000 Cash invested: $630,000 Sale price: $1,500,000 New Construction

Cost to the REI is ONLY the cash that comes out of their pocket. 

It’s not sexy like downtown high-rises, but the numbers work—steady cash flow, lower entry costs, and tenants who stick around.Take this: a rural county we’re in just saw a 10% population bump over five years, yet multifamily stock barely budged.

Analyzing an investment with the Cash on Cash return makes more sense to me.

Quote from @Marc Zak: In the market where I live (San Diego), appreciation has been strong and many predict it will continue to appreciate in the long term.However, with current interest rates (6% at best) and property tax (2%), the annual cost burden is 8%.Am I correct in saying that appreciation has to be above 8% annually (plus whatever my maintenance and vacancy costs are) for me to make any money in this scenario if the property is cash flow neutral?

You could do a cash out refinance or even look at a balance transfer at 0% for a couple of years.

Purchase price: $417,500 Cash invested: $37,575 Technically a single family by zoning, though set-up to be a duplex, with 3 beds and 2 baths per unit.

As echoed by many, the Midwest, specifically Milwaukee continues to be a strong market for cash flow.  

Plus, we're investing heavily in each property with the intention of doing a cash-out refi within two years of owning each one. 

To maximize your investment, use financing options like FHA or conventional loans, analyze deals based on cash flow and cap rates, and network with local investors through REI meetups and BiggerPockets.Good luck!