Nick it depends on your goals and what make sense for you short and long term1.) 

I also think with an economic downturn on the horizon, it might make sense to get into property management or flipping once we're near the bottom of that downturn in a year or two. 

This is why cap rate is commonly used to compare one property against another to determine which is a better investment.When you measure ROI specific to you (i.e. the investor), then yes it makes more sense to use your down payment.

It makes a lot more sense now. 

That makes more sense. 

In a limited sense, I'd guess that the money you spend that will get the greatest return is cleaning, mowing, and painting. 

- It's only good for food haha).The quotes came back as such: $5500, $6400 and $7800 for a new 3 ton unit and installation..I was appalled as these prices didn't sit right with me so I decided to take matters into my own hands and do some on the ground research since I just so happened to be in Houston that weekend.They say your network is equal to your net-worth so I immediately reached out to my network of investors and got the contact of a formidable handy man in the area.We were able to cut out the multiple middlemen and go straight to the wholesale distributor (cutting off all middle men would mean going straight to the manufacturer but it's not possible to buy one off units from them).I paid $1000 for a brand new 3 ton unit and was charged $500 for the labor of the handyman...Needless to say, I'll be working with this handyman for future projects and repairs..Total cost - $1500 and 2 hours of my timeTotal savings - ~$6000Because of my spidey sense and network, I was able to save a ton of money, form a new relationship in the process, acquire a connect with the wholesale distributor and write this article..

If so, then there may be a way to work something out that makes sense for all parties.

If you're not owner occupying it, be prepared for a 75% LTV loan, so if you're putting down 10% now, be prepared to have the other 15% in order to refi (not factoring in principal paydown or appreciation/depreciation of the property).Separate from the seller finance, make sure the rental numbers make sense.

I don't think a hard money loan is a bad idea..if the deal makes sense.