The Investor Dilemma

[Daniel Sanchez]

The two Super Bowl contenders not only represent very different teams but also represent different real estate investing landscapes. Los Angeles is notorious for its appreciation while Cincinnati and the general Midwest are known for their cash flow. 

This poses the question which do you prefer as a Real Estate investor?

[Eric James]

Quote from @Jim K.:

I live and operate in any area known mostly for its cash-flow potential, but I have grave reservations about investing based on cash flow alone. All communities experience change and flux at all stages in their life cycles. There are appreciation opportunities in every sort of major market.

The way I see things, you're relying on cash flow alone to make your business profitable, then your most fundamental business strategy is that you're trying to siphon your wealth out of your tenants. That's not real estate investing, that's vampirism. And while I have no doubt that vampirism can be hugely successful...it's not for me.

That's not "vampirism". Unless you call almost every business in existence vampirism.