Create a real estate investment plan/portfolio in one market of your choosing. However, the market must be located in one city. Your current financial situation and/or access to capital are listed below when analyzing the two markets. Use Cap Rate, NOI, and Cash on Cash Return to determine which is the best investment strategy and why. 1. Your terms:

a. 200,000 in funds

b. Credit line for 300,000 (loans terms are minimum 20% down payment, LTV is 70%)

c. 30-year mortgage fixed Interest rate for credit is 3.50%

d. 15-year mortgage fixed interest rate for credit is 2.50%

e. Balloon rate 2% for the first 6 months; rises to 9.99%