Investing is when you can count on a predictable cash flow to drive your returns and value.

If the overall size of the market shrinks (my prediction), and you already own houses, you are going to have a lot less competition for rentals overall, which will only raise your rents or at least hold them steady.Fundamentals don't really change.

Unless you predict that the area you will be buying in is going to have significant growth.

Using an average, you could reasonably try to predict how long yours would take and what your holding costs would be.

Sometimes these closings can drag in, while the delinquent taxes keep building up and up.This kind of clause might give you a little extra predictability in the numbers (anything in excess of said amount would simply be paid from the sellers proceeds).Food for thought anyway.

Secondly, I would look at 78727 close to the Domain where they predict Austin's 2nd downtown area will be!

If you are finding a 4 plex for $20k in working class neighborhoods I applaud you, I only found those in non-working class neighborhoods here in Memphis.Good luck investing,"The best way to predict the future is to invent it"Alan Kay

As mentioned by Charles & Bryan, cashflow is the key for buy-and-holds ... one can never predict the bottom but it it's spinning $$ off every month then you'll be able to weather (and enjoy) the next few turbulent years before housing settles and hopefully appreciates.

Any 4-plex has a chance of being funded with a residential loan or a commercial loan - so this allows for potentially more funding options.LTV and appraisals are subject to change at the lenders' discretion, so it's hard to predict what you'll encounter.Only you know what your circumstances and goals are, so only you can really determine which is best for you.

If you're predictions are off and you buy a 9 unit, multiply the damage by 9.