Glad to help, Mike. That's what we're here for. :-)
If simplicity and cashflow are important to you, I'd be looking hard at smaller multi-families, subject to all the due diligence etc., of course. A big reason is that, comparing apples to apples, the cost per "dwelling unit" is usually significantly lower in a multi than an SFR. At the moment, with a relative regional shortage of multi housing and SFR prices that are going through the roof, the monthly rental difference between the two types may not be that great. In that case, the cheaper that you're into the game (per unit), the higher the profits.
And, even if the initial net profit is the same, it's better to have diversified profit streams than a single one. Stuff happens, especially to tenants.
An even more important reason to consider multi-family investing is that a lot more capital funding sources will open up than your personal credit will normally allow with at least your first few SFR's. When you get into commercial real estate that cashflows, the cashflow itself is the main "creditworthiness," not just you and your day job income. You'll need to learn how to put together a proper cashflow statement etc., but you'll find lots of that kind of education here.
Even better, find a seasoned mentor or investment partner with the right experience in the area you're interested in. A property manager who also owns their own inventory would be my choice, and most would probably be delighted to guide you through the acquisition process, if they scored the management contract at the end of the day. By that time, you'll have gotten to know each other, too, so there should be fewer surprises in the future. I would be concerned about a property manager who didn't have their own properties.
Because commercial paper has different rules than bank paper, you may also find that the same amount of cash that you saved up for that SFR buy-and-hold may actually be enough to get you into a four-plex, which is a very convenient denomination.
Then again, lot of folks start out buying a four-plex with a bank loan like an SFR, which can be done if you live in one of the units and rent out the other three. If I recall correctly, four units is the maximum size before you're considered as full-commercial. But, if the three rental units cover the mortgage payment, you're living for free and what you normally would have paid for a place to live can be saved up for a down payment on the next cashflow property.
The BP Marketplace usually has plenty of private money looking for good places to go to work, although you need a Pro level membership to post there. If you put together the right deal and have some of your own skin in the game, finding financing for small professionally managed multi's shouldn't be impossible.
The easiest way to find out if you can put together a super deal is to TRY. Set a goal that's a little bigger of a bite than you're comfortable with and start driving toward the goal like Marshawn Lynch in BeastMode. (We do love our Seahawks!) You may fall flat on your face or the coach may inexplicably call for a pass on 2nd and goal, when the entire defense is bunched up into a solid wall on the goal line and the championship is on the line, but you're at least guaranteed to learn a lot in the process. The next time, you'll have a better idea what you're doing. We learn far more from our failures than our successes. The most important thing is not how many times that we get knocked down, but how many times that we get back up.
(Note to self, re the Superbowl: Get OVER it and learn how to live with it.) :-)
Regarding Greater Tacoma vs. Greater Everett, some people seem to be making money in Tacoma, but it's generally a pretty rough area for my tastes. Some things are more important to me than money. You might want to check out the Tacoma News Tribune site and search for stories on "Hilltop." There aren't many areas of Tacoma that aren't a 10 minute drive from Hilltop.
But, from a longer term REI standpoint, it doesn't seem to me that Tacoma is poised to explode - it's an older city and was built out to within an inch of its life long ago. Western Snohomish county and its collection of smaller cities is much younger and is tied as the fastest growing county in the state. It still has a lot of commercial land in closing pockets between urban areas that never did get developed, and at what seems to be some pretty fair prices compared to Seattle.
And, in terms of actively working to direct the strong population growth into urban growth areas, Snohomish county seems to be leading the pack of the Puget Sound counties. King county started much earlier, and they're still behind the little brother to the north. I've concluded that this where the fruit is hanging lowest and where it will ripen first. The other counties local will eventually follow suit and will offer their own unique opportunities, but what you learn here will prepare you for that tomorrow.
That's why I'm REI-ing here, at least.
