It looks like they have the option to pay cash or large downs to make them positive. As long as there is a fundamentally viable rental market I think the pure investment return numbers are not critical In this scenario.I am not saying go throw money down a hole of course. It’s diversification issue too. The small rental business, I would say start with two, is a type employment that is self created and will provide documented income. Maybe enough to pay his rent or his PITI on a modest owner occupied house or more too. Then maybe they build a little better nest egg, but even if they don’t they look pretty good and have a better safety net. What would Suze Orman say?
