Just another thought, but again its all about what you feel comfortable  with, your long term goals and the risk tolerance. you are still young and you have a lot of time to grown you portfolio. good luck with your final choice but from what I have seen so far, you posting on Big Pockets and reading thru different post is a massive resource of knowledge and information which means you have made the right choice as a start.

Part of it is gonna be based on how much capital you have to invest - if you’re cool using certain types of leverage, your risk tolerance and so on.

@Shane Boyd there are tons of reasons, most of which have been mentioned but I really believe it’s risk tolerance for many.

The volatility isn't a problem here, but it also means that appreciation should not be most people's strategy of choice in this area (unless you have a higher risk tolerance) because you may have a little difficulty selling at your price point. 

This is the difference between what municipalities will discern as tolerable businesses and those with "publc safety issues"

Not knowing their experience, risk tolerance and how hands on they want to be - all factors that are included in cashflow purchases as you are aware.

@Matt Thielke I think these types of decisions are based on personal preference, personal risk tolerance, etc.

Knowing your end goal (such as a certain dollar amount of cash flow, or becoming debt free) as well as your risk tolerance will point you towards the type of activities to focus on.Generally if you don't want to be a wholesaler, don't start by wholesaling.  

Banking on appreciation is RISKY, but it depends on your tolerance.

I read somewhere that was a good way to do it personally if you can tolerate the moves every year or two, as the capital gains gets deferred each time you upgrade.