Over leverage a bad thing?

[James Baker]

Quick question.  I often hear people warn of being overleveraged if the economy has a correction.  I would think that if the housing market dropped by 50%, you are protected in the form of having your tenants pay your mortgage, even if it is underwater.  If it takes 5 to 10 years to recover, you should cash flow throughout the downturn if you are managing your money for the property properly.  With that being said, I could completely be wrong with the way I am thinking here.  Thanks in advance for responses!!!