Lots of turnover, evictions, repairs and much slower appreciation if any (adjusted for inflation) than better areas. 

The new taxable value will be the fair market value of the home on the date you inherited it, adjusted each year after for the inflation factor, and enrolled as of the lien date following the date you moved out. 

And that’s before the “inflation fairy” gets their hands on 2-3% more of it. :-)You need leverage to get started/grow, plus you have “nothing” to lose.

Property taxes were going up way faster than inflation and people's salaries. 

I am much closer to 60 than 30 and I promise, inflation adjusted, I spend way more money now than when I was 30.

Yeah cash flow is not great, but we put 30% down and that makes it cashflow alright with todays rents, but we expect rents to go up at least with the rate of inflation (2-3% per year) and that compounds over a few years and translates into more cash flow.

This Proposition changes the way Prop 13 works, the monumental proposition from 1978 which fixed property taxes in California to 1% of the purchase price plus inflation every year. 

You could also explore fixed income mutual funds or ETFs, but these may lose principal.For the balance, consider that 10-12 years is a long enough time horizon that fixed income instruments - bonds, CDs, or debt funds - are subject to inflation risk.

Meaning, every year builds off of the previous year.A reasonable organic rent growth input can be from 2% to 4% every year, but this depends on your business plan and market.Sponsors can use organic rent growth to inflate investor returns in the underwriting model. 

If I assume that the (actual) inflation rate is 5% and the initial rent is $1,000/Mo, what is the inflation-adjusted adjusted rent (or buying power) in 5, 7, and 10 years?