If I find a good deal I have equity( more than the 20 percent I put down) within 5 years of payments. 

Know Your Tax BracketsNow, let’s assume a 20 percent capital gains tax and a 28 percent income tax bracket.

The loan officer I have been in contact with suggested that I get a owner occupied loan so that I only have to put down 20 percent.

I started with Jg Wentworth who gave me a much better rate then USAA by a full 1.25 percent.

I’m actually switching a property over to professional Property management due to my time is worth a lot more than the percent of gross I have to give up.  

If so then what areas / zipcodes would you all recommend to achieve a decent cash flow even carrying a mortgage with about 25 percent down ?

We pay our investors 9 percent on their money.

GabrielThe one percent rule does not always apply.

Alright, not to self: don't click on a profile after having written a response and before posting reply, haha. so, @Ali Boone I know there isn't much room for appreciation, but the 12-19 per cent does sound appealing.

And, we take ten percent of the rent money when they are rented and whoever is managing that property gets that for keeping up the accounting, coordinating repairs, etc.