It all depends on what the costs are for each route of financing.

I plan on selling this place during the summer of 2015 and will need a replacement home to do a live in flip with.My credit score is around 760.I have a considerable amount of construction experience.Currently I earn around $75K a year.I live in Riverside County, CAI also have a real estate salespersons license.Plan ASo on to the question, I can go the easy, although from what I have read, the more risky rout and buy a home or contract from a wholesaler.

Ok I'm from Washington,DC area I really want to get started in REI but I don't know which route to take.

I don't exactly have the time right now but do think I can find a better deal looking for foreclosures than trying to find a home the typical route.  

Since I'm new to this area of investing I just need convincing on which is the best route to take.

If you decide to take this route I would search google for short sales and see which realtor represents the majority of them in the area.

If it is higher end and the competition has newer updated kitchens then I would go the whole new route.

I want to go this route as i know i have some family members who would be willing to seek an investment with me on a multi-family investment.What is my first step?

Think of a walk signal at an intersection.

It makes sense to go that route.