But I feel it is important to point out that the 10% appreciation example works both ways - if a property decreases, it decreases on the full market value.

Property was originally listed for $1.2mm this past year they’ve done multiple price decreases to $699k.

Birth Rate: The birth rate in Italy has been steadily decreasing.

I think over the long term sure it balances out.For example - 2023-2024 - my area saw a NET decrease in rental rates.

It will make the loans more valuable if you ever decide to sell them and decreases the chances of default. 

Buying in an area with decreasing demand or property values. 

That's a significant discount --- I wonder if they are seeing a decrease in homes posted.

If the way to increase the selling value of a MFH is to increase NOI by increasing income or decreasing expenses; why are the majority of sellers putting their properties on the market with under market rent?  

Increasing for times when there is more demand and decreasing when it is slow. 

Decrease your risk and buy solid Real Estate.