Interest rates in the then current economic climate were in the 15 - 17% range for new mortgages, hence I was able to purchase a note on a SFR with a principal balance of $50,000 or so and an interest rate of 7.5% for $22,000.

I'm in a heating climate and a gas boiler would be expected to last 30-40 years at least.

We sold one property this year where we wrapped the 4% mortgage note into a 10% note and as a result are enjoying a 17% annual ROI for a minimum of 2 years and possibly as long as 10 years if the borrower/buyer does not pay us off early.After 40+ years of real estate investing, in many different markets across the country during many different economic climates, both in residential and (primarily) in commercial, I can tell you that hard and fast “rules” should be constantly evaluated to see if they are limiting the opportunity to “jump start” your wealth building.   

@Adriana V Alvarado you'll learn more and have better control over a local house-hack versus an OOS rental.Just be careful of the tenant-friendly climate in California.

I guess you could add climate change as another reason to be wary of them.

The warm climate and affordable housing make these cities prime for rental investments.Ohio: Columbus and Cleveland offer affordable properties and stable job markets, providing solid cash flow and appreciation potential.Tennessee: Nashville and Memphis are experiencing rapid growth.

We are considering developing it into a multi floor climate controlled self storage facility. 

The numbers simply didn’t work so I stayed disciplined and resisted buying bad deals while it seemed like everyone was jumping in feet first.Today’s climate feels like that.

This is a challenging case, because it does feel as though you are dmaned if you do and damned if you do not - Carlos, I really like your thought approach, you do not give the necessary capital call you are 90% risk of losing, you give the capital call you slightly lower chance of losing - but still feels like a tough hill to climb Our team at Smartland purchased all heavy value add through-out the same time period, large multifamily - we went into with a strong basis an arsenal of capital to do the construction work and kept one focus, get through the business plan, renovate the units, but this had to be done in a very high velocity as fast as the interest rates were rising, we felt the need to press hard on the construction gas and work through units  - so if we were faced with this climate that we are in now and interest rates do not soften we would not be deep in construction but rather focused on  administrative costs controls and lease-up.

In college towns like South Bend, features that appeal to potential landlords (like extra bedrooms or separate entrances) will boost ROI.In colder climates like Indiana, spring and early summer are often the best selling seasons.