Hi, I'm a new investor and still gathering info before getting my feet wet.my goal is to generate a positive cashflow, while hoping that the property also increase in value (not a big jump, but at least on par with inflation).from the get go,my mind was set on a single family home or a duplex.. until recently someone mention that a condo might be a better investment for greater positive cashflow.With condo, there's a condo fee but the price will be lower, and I don't have to maintain any lawn or replace a roof..I'm trying to figure out if Condo is the way to go.here's my current analysis of a Single home vs Condo:Single home: Price $160K, tax 3600, ins 700. 20% down at 4.25% interest. it can be rented out for 1500/monthCondo: Price $45K, tax 1800, ins 350. will buy in cash. can be rented 500-600/month.

Below are the income / expense numbers & acquisition costs.

I have heard banks typically list at FMV and will not sell for 10% below price .

Let them go to gravel!)

. , the apartmentsoffer easy access to Interstate * and Interstate* and shopping within walking distance whilestill remaining in a quiet setting.One of the apartments has been converted touse as the management office, bringing the currentnumber of rentable units to 79.Units are 850 sq ft with 32 units having gasforced air heat at the tenants expense and 48with gas hot water heat at the landlord expenseThe property is currently renting at just below market but has enjoyed consistently stable and low vacancy rates.

This has worked very well.The chart below shows the number of homes that are renter occupied versus the seasonally adjusted homeownership rate."

All well and good except the unit isn't worth as much with tenant, especially one paying below market rents.

I am banking on the fact that i got a deal on this buy lot below the actual value of the property plus I am doing a 25% of my purchase cost down.

I did something similar but the first 5 years it just makes $40 below my payments so it is heavy negative cash flow.

Two points in particular that resonate with me are @Ellis San Jose "opportunity cost" and @Jerry W. logic of the 12% existing cap rate versus losing money at anything below 13%.