It is a Class B asset in a Class A neighborhood and if underwritten conservatively throws off 9% Cash on Cash return.

Incredible returns, no rehab needed, and you can buy/sell all over the country.

You can receive better returns if you are willing to look outside of King and Snohomish Counties and outside of Washington.

Communication with my PM has been great and prompt so far and will be tested soon as I just found out my tenant decided to return home to Florida and dropped the keys off. 

For a complete beginner who cares about getting higher returns, in my situation is there a clear winner for SFH vs MFH?

Account ClosedHi Mackalyee, I won't be running this property out of an LLC (will be using umbrella insurance to cover personal liabilities) so i assumed that lenders would be more willing to lend at 20%, but i re-ran the numbers at $25k down which makes the deal appear to be closer to a 10% cash return in Y1.

After the mortgage payments it would be around 25k for a cash on cash return of 110%So what's the catch?

She's been at her current job for more than 2 years so she'd have tax returns.

The 12% cash on cash that is,  There are plenty of homes that I can accumulate $100+/mo cash flow but the return is no where near 12%. 

She's been there a few years so she'd have tax returns, and her credit isn't great but it can be boosted pretty easily by paying off her $300 credit card debt.