Townhouse Single-Family Home

Advantages:

•Seldom need major repairs or maintenance because they usually are of recent construction.
•Command higher rents than detached single-family homes because they need less tenant work.
•Rise in value quickly when kept in good condition by the owner and tenants.

Disadvantages:

•May cost more to buy or rent than a stand-alone single-family home in the area you’re investing in.
•Can be difficult to find because there often are few in an area in which you want to own rental property.

Apartment in a Multi-Family Building (Apartment House)

Advantages:

•Can often be taken over for NO CASH and NO CLOSING COSTS when first offered on the market.
•Usually require less maintenance than detached single-family homes because they’re better built and have less exposure to the elements - snow, rain, hail, sun, hurricanes, tornados, or others.
•Are simpler to manage and easier to rent because there’s usually a larger need for apartments than for detached single-family homes.
•Can be put on the market, and rented by a Rental Agent for a small fee. This gives you more time for other real estate deals.

Disadvantages:

•Your rental income may be lower than for a detached single-family home in the same area.
•May be hard for you to find in heavily populated areas because of the great demand for rental apartments.
•Can take you longer to assemble a “string” of these units than a group of detached single-family homes.

Condo Single-Family Home Units

Advantages:

•Simple, easy management for you that can be done at a distance by yourself or by others.
•No land or garden care by you or your tenants - the condo association does it all as part of your monthly fee.
•You can finance these units easily - often on zero cash, meaning you have a no-money-down deal!
•Are usually easy to sell, if you want to take a profit on your investment and buy other, more attractive income property.
•You can often buy older units at low prices if there is new condo construction in the area of your property. 
Disadvantages:

You may find it hard to locate a suitable condo in the area in which you want lo run your single-family home rental business.
Newer units can be more expensive than a detached single-family home in the same area in which you want to invest.

Mobile Home in a Mobile Home Park

Advantages:

•Sometimes you can buy them for almost nothing - just $40 or $50 in some cases our readers have told us about in the warmer areas of the United States.
•Are often low-maintenance structures because they are made of long-lasting metals that resist corrosion or decay over the years.
•Can be rented to the same family for years, saving you time and money and allowing you to spend more time on other money-making deals you like.

Disadvantages:

•Tenants may be the less desirable type because they are restless and don’t stay in one location for very long.  Such tenants may not treat your property too well.
•Your mobile home may have to be moved if the park closes or is sold to a new owner.

Single-Family Detached Vacation Home

Advantages:

•Can provide you with a high rental income during the vacation season - often more than a year-round rental pay you in a less desirable area.
•May provide you with tax-deductible trips to desirable vacation areas when you travel to inspect your property, check on tenants, or do other work related to your income-producing real estate.
•Are a “fun” type of business because your tenants are in a happy mood - they’re on vacation!

Disadvantages:

•May be hard for you to rent during times of economic downturn or other conditions - war, shortages, stock market debacle, or other economic problem.
•Can go in and out of style as the types of vacations or the popular vacation areas change in popularity.