In real estate investing, as in many areas of life, to truly succeed, you need to learn to think on many different levels. This means, that as you learn and grow, you must expand your thinking, and your investing.
Anytime you start some new endeavor, you need to focus on one particular area, and excell at it. From there, you grow and expand into other areas. However, many investors forget to expand. They stay locked into what they know, and excel at it tremendously … yet, staying with what you know, is not growth. To grow, you much go beyond that which you know, and in real estate investing, that means expanding into other areas of investing.
As you develop your investing muscles, you should stay mainly in what you do best, but expand your wings into other areas. As most people start out with single-family homes, from there, over time, you should also look into doing multi-unit properties.
Single-family homes are great for building cash, growth through appreciation, and easy liquidity. Multi-units can be great for cash flow. The secret to surviving long term as an investor, is to implement both into your investing regimen. Single family homes for building up cash, and multi-units for creating cash flow.