Small entrepreneurs should not diversify their limited resource if they want to grow.  

In case you have not noticed, our national debt is already out of control, and there're legal limits on additional borrowing.The government has a third option: print more money.

Low prices enable more people to buy, limiting demand for rental properties so rents decline (in inflation-adjusted dollars).Population Growth: In areas with growing populations, demand outpaces supply, driving up property prices.

It would be a big red flag to me if they are doing a lot of volume in this market. https://www.biggerpockets.com/member-blogs/10145/83067-limited-partner-s-guide-to-investing-in-the-right-deal

If the net cashflow is negative, it's treated like a debt/liability for DTI.

There are some places that you pay dues every month or every year, so sometimes you're buying a liability.   

My view: As the 10 year rises, markets with inventory get even more inventory and markets with limited inventory get even less inventory. 

Guys - I am a limited partner & invest in a multi-family building passively that was sold resulting in passive gains for 2024.

In some very attractive markets like coastal cities I can see it being worth it not to rent the unit or rent it only under very limited circumstances in the low season because the high season is just too lucrative to allow anything to affect those bookings.

I would also note your mention of not wanting liability, but offering to "co-sign".