My choice would be to go after cash flow and limit my downside risk, but this is coming from an expectant father so maybe I am playing it too safe! 

I had a very interesting conversation with my Father in Law the other day, that opened up an opportunity.

My father and I invested in a home in early July of this year.

If your father just deeds the house to you, this is a gift.  

My father went to look at the place and his stuff is still there.

She needs a vehicle so that she can go care for her father multiple times per week, otherwise, my wife has to continually loan her the car, and this is preventing my wife from starting to aggressively develop our real estate business.I have about 4k in extra cash coming in from freelance clients.

I would imagine you will have a similar situation with having the stream on your property.I just had a friend whose father built a new pole building that they finished 1/3 of as a nice cabin.

I’m a father of 3, my daughters are 21 and 19 and my son is 14.

The Brrr option might be your best bet.Or--what about using that lot that your father was going to sign over to you, buying a fairly nice manufactured/mobile home for 20-30k, and start out with renting that? 

He is already a licensed real estate salesperson in New York, he helps his father manage a few of his properties, and he has even helped his father develop a Family Dollar.