Now we use boston logic.

Flipping is a logical way to get started, and it's how Scott Carson says he got started. 

One offered 65% LTV, Max 20 year am and made no delineation between 1-4 or 5+ units, essentially the opposite of what I would logically expect...it was all the same to them as they were “investments” as opposed to primary residences.

@Christopher Phillips, thank you, I think I am actually getting it, I have read a few blogs on it but they all seem directed to an audience that knows more than I do, I needed the simplicity.

Now I understand the logic behind higher cap rates.

Normal logic is out the window now. 

However, everything and everyone needs to be sold at some point because people make decisions emotionally, not logically.

Please note the information provided below is a layman's definition designed to provide a basic understanding for the general audience.

@Justin Teal what's their logic?

Thought it might be useful for first time investors.To re-state your audience are people who want to start in REI.Your next question is what is the most under appreciated REI investment.The underlying question is where “they” can do the best.Here is how I address this question with new investors.1.