@Matt Smith generally speaking it’s a combination of rising interest rates which have caused cap rates to increase (thus wiping out equity), debt is resetting at higher rates, rising opex costs due to inflation and stagnant or softening of rents due to an increase of supply.

Are you looking at the maintenance/repair costs of the homes once in place, W/S/G costs. septic expense if applicable? 

Will a Cost-Seg offset the LTCG on these index funds? 

My basic underwriting making some standard assumptions on HOA expenses, 20% down, 7% interest rate, 30 year mortgage, utilities, supplies, and maintenance costs shows a loss of about $22k per year if you are self managing.

The previous tenant left a machine, you are free to use it but it is not landlord supplied and if anything happens, its on you the tenant.

Amid surging demand for apartments, the US rental market is contending with the largest supply of new units in four decades.

Not trying to be a debbie downer, but I see no news economically that is pointing to things getting better. 

No equity, just a long term note.  

I did it, because I had no choice, but I would not recommend it.The pictures below are all (young me) me, including the guy inside the septic system.

@Shiloh Lundahl I will do value add specifically with ADU development, so I am tracking permits to find other ADU developments and overall inventory growth to find a competitive edge with supplying demand in areas lacking larger residential developers aka "the middle housing"@Arlem Garcia Interesting, Tariffs will play a big role in supply chains, so it will be interesting to see how governments come to resolutions@Henry Clark Absolutely, imo gone are the days of investing for cashflow or appreciation, now it's about aligning long-term strategies with lifestyle