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.

I am actually in a very similar position as well.

A straight lease-option can probably be done, as to doing it legally, it depends on which L/O deal you're involved in, what your position might be.

You need to do quite a bit better than that to have positive cash flow.I looked at student rentals for a while.

About how old is he, any health issues, how's his financial position roughly?

In your position, I would not tell the seller what his tax treatment would be.

Originally posted by @Bryan Hancock: To me it seems like best is in the eye of the promoter for their intended purpose for the raise.I can tell you've never had to prove your position to the SEC. :-)

Held for cash flow, taxes and appreciation to a more profitable position.

Everything I am reading about the Houston area appears to be positive.

Hopefully I'll be in the position to advise and help future newbies out myself soon!