Many times banks say they will lend, they will get a good appraisal, have good cashflow, and they will see houses 2 blocks away that are significantly devalued, a house across the street sold at tax sale 6 months ago, etc. 

Taxes in the area might be devalued for years and fixing to have a big increase.I usually go back 10 years for due diligence to see how assessments have played out and how much they have gone up and down each year.

If you look at the Columbian Peso versus the US dollar in just the last 6 months there has been a 25% devaluation of that currency in that time.http://www.exchange-rates.org/history/COP/USD/G/180So if you are making 25% returns in value annually and loosing 50% annually in the value of the currency, you are actually loosing money. 

In the present context whereby its seems American leadership is trying to devaluate the US currency, it will add you some extra points on your RE investment. 

Looking it another way, with $1MM in total equity, your investment is immediately devalued 8.5% when you put in your investment.  

But even now the listing side of the process is being devalued by flat fee listing companies. 

Rental property is generally considered to be an inflation hedge, but if we get hyper-inflation and a major devaluing of the dollar, with extremely high unemployment and a govt that can't stimulate anything or support massive public housing/Sec8 spending due to a huge portion of quickly-shrinking tax revenue being spent on servicing the massive federal debt... then frankly I don't know how property will perform.

For those whose income remained strong enough to make payments, having a home that became devalued due to what was happening to the neighbors meant that few were untouched.

There are loan limits depending on the number of legal units, for FHA they are: FHA 2 Flat $468,150 3 Flat $565,900 4 Flat $703,2501, If it is zoned as a 4 unit you would devalue it by making it a 3 unit2.

It’s growing at a faster pace and devaluing my debt.