Posted by Shawn J. Dostie on July 06, 2003 at 07:35:07:
If you live in nowheresville like I do and are friendly to you local bankers, you can be preapproved. All I have to do is make a call. Also I can do 0 down deals with pos cash flow but again, location is key. I’ve always managed my own propetiies… maybe I should have used a management company 
Good Luck,
Shawn(OH)
SFR or multi-unit? - Posted by Patrick Martin
Posted by Patrick Martin on July 05, 2003 at 01:25:56:
I am ready to buy my first investment property and am still undecided whether I should buy a Single Family Residence or a multi-unit. I am looking for cash flow and I intend to purchase several properties over time.
I am pre-approved for either type of property. I will offer my properties to section 8 tennants. I am working with two mentors, and each of them are adamant in their opinions… one for SFR’S and the other for mult-units.
If anybody is willing to tell me your opinion, I would trulu appreciate it!
Thank You
Patrick Martin
Re: SFR or multi-unit? - Posted by GL - ON
Posted by GL - ON on July 05, 2003 at 11:34:20:
If you are in it for the long term and you want cash flow, the multi units win hands down.
In most areas it is easy to get positive cash flow with multi units even where you can’t with single family homes.
And the bigger buildings are easier to get low down payment or no down payment deals.
Do an archive search for GRM and Cap Rate. Learn how to analyse the cash flow potential of any property. Then analyse a few in your own town and prove to yourself which has the cash flow.
Now having said that, I am also very impressed with the cash flow claims of the lease option boosters. But I have never done that type of deal myself so I will leave it to them to explain it.
Re: SFR or multi-unit? - Posted by Patrick Martin
Posted by Patrick Martin on July 05, 2003 at 11:23:40:
Thank you Ronald, Clair, and Don for your advice. I will also do an archive search on the subject.
Might we conclude that either… - Posted by Ronald * Starr(in No CA)
Posted by Ronald * Starr(in No CA) on July 05, 2003 at 10:36:59:
Patrick Martin-------------
Might we conclude from what your “mentors” say that either is a fine investment?
Have you had them give you the reasons behind their choices? Have you compared the good and the bad between sfhs and multis? This topic has been discussed numerous times in the past–do an archive search on it for those discussions.
I think that the choice tends to be a personal choice. Few investors will invest in both. What do you want to do? Study the arguments, make a choice, do that. Then later, after you experience that approach for a while, if you want, you can try the other approach and see which you like better.
And some investors do invest in both.
Good InvestingRon Starr*
Re: SFR or multi-unit? - Posted by Clair-MO
Posted by Clair-MO on July 05, 2003 at 10:07:03:
Patrick, 4-plexes are considered as residential and not a commercial unit. If you need 4 times of income doing multi-family units such as 4-plexes would be the way to go. In my humble opinion. 5 units and over are considered as a commercial property.
Re: SFR or multi-unit? - Posted by Don Dion
Posted by Don Dion on July 05, 2003 at 01:40:59:
It is impossible for you to be pre approved for a commercial building with out even knowing the numbers. Someone is pulling a fast one on you here. Also without a track record as a land lord you will have to hire a property manager to do the building for you till your up to speed. The down payment is what keeps newbie’s out of the multi unit buildings. They often need 20% to 30% down to get a debt service that will work.