If minimizing upfront costs and avoiding vacancy is more important, Strategy 2 could be the better choice.Market Considerations: Research the rental market in the area.

We still have several areas with properties that both cash flow and appreciate in value.

Hi all,I'm a 19 year old and have been wanting to get into real estate, specifically renting a property and putting it on airbnb to get cash flow, however I been seeing around that airbnb isn't what it used to be. 

This doesn't cap the number of STRs, but would eat in to the potential cash flow a buyer could get from a short-term rental. 

Having a rental property means new tax considerations, and consulting a pro who knows real estate is a smart move.

You get potential cash flow, tax shelter and appreciation.

If you allocate enough for maintenance/cap ex, you would be the first newly that I am aware of to have done soRecognize there is a poor relation between initial cash flow and actual cash flow over a long hold.  

Cash flow can be difficult to achieve, some areas aren't even possible to cash flow with traditional lending in all honesty.

My typical investment in Colorado has been around a ~500k purchase price, and I really strive to purchase property that is $20,000 to $25,000 under market value and that is break even cash flow minimum after operating expense/debt. 

If you are looking to get your Down Payment back, solely through cash flow, your numbers are fairly accurate.