We purchased a single family home in Florida for $11K down, so not necessarily. It currently cash flows for around $200 a month (all expenses paid, including p

We purchased a single family home in Florida for $11K down, so not necessarily. It currently cash flows for around $200 a month (all expenses paid, including property management - we live in California). There are also ways to partner with others to combine a down payment, as well as putting together a deal with no money down (funded by others). It is incredibly important to study/investigate ahead of time before creating a deal with more than one partner, as there are financing rules that may apply (for example, the SEC can be involved with syndication, if it gets to that). There is quite a bit of money in the world looking for good investments, so if you can become someone who puts together good investment deals, attracting capital will not be an issue. Some have started by creating a deal where they had no money down but instead received 10% or 20% for putting the deal together and making it happen. The next deal can be a higher percentage (success builds trust), until eventually you have built up enough capital to be doing your own deals, if that is your preference. The team you build is more important - Attorneys, CPAs, Property Managers, Insurance Brokers, etc.