Good cash flow in slow growth market vs appreciation?

[Charles Wood]

Starting research on moving from SFRs to MF and looking at two different markets. One is higher growth market in Tennessee with good appreciation but tough to find strong cash flow properties and the other is a smaller market in Mississippi without the appreciation but with good cash flowing properties. Any advice on which market to pursue?

[Brian Barfoot]

I'd vote cash flow every time. Appreciation is a gamble whereas cash flow helps with later financing (improving your income numbers) and is more of a guarantee even if there's really no such thing. From a morale standpoint, seeing the balance creep up in my account every month just makes me feel good and reminds me that this is building towards a healthy early retirement. Rising assessments just don't do the same for me.