We know good cash flow rentals in many areas in and out of Cal. However, our goal is long term apreciation. We’re 250 a month ahead on three houses, but have made hundreds of thousands in appreciation. We take the equity and invest at a higher rate than we pay on the loan. When you figure in the tax deduction on the loan and the net cost of borrowing, it’s not hard to do. Much like banks do when they give you interest and loan the money out at higher rate.
We own a few properties.... we are in it for the long term too. They are our retirement plans in about 20 or 30 years. Dump money into the loans until they are paid off... sell them in our late 50’s or not...