I would just encourage you to think through different possibilities like the ones I listed and come up with plans for them before you jump in. 

I currently exercise a buy and hold strategy, but have decided to do a couple of flips in between rentals to generate extra working capital.  

The City is putting a lot of money into improving the downtown core area with light rail and encouraging retail investment.

Selling property generates cost, dwindling profits.Me personally I don't trust myself selling one of my properties and finding something just as good or better. 

The price of a house with this income probaby should be no more then $400,00 if it generates $4,000 a  month in rent (including a rent assigned to john) 

Our goal would be to have enough commercial real estate eventually that would be some what of a good passive income generating corporation.If you need more info, please don't hesitate to ask.

Our family has been in the planning, engineering, architecture and construction industry for well over four generations. 

Have a PM who does not have my best interests at hand   I purchased the properties because my financial planner kept encouraging me to invest in real estate to diversify my portfolio.

And hopefully be running an RE company that's generating 250K+ a year within 10 years.

If that location does not appreciate at all there is not much left to help buffer performance on a single family.The numbers have to work obviously but there are many more fundamentals to take into consideration along side "seller generated proforma caps".Total returns should factor equity gains.