When this happens, inflation-adjusted rents tend to decrease.

If this is how a cash out refinance works, it feels like the strategy is to either have more to rent out within the property (multi-family), wait for average rents in market to increase, rehab the property more and increase rent more, pay off the property/ more of the mortgage and refinance again without a cash out to decrease the mortgage (I don't even know if I can refinance a property twice)? 

My posting and commenting has decreased significantly in the last several months but after the LA fires, I'm participating more. 

How do you evaluate the increase (or decrease) in price of the land in question down the road?

To decrease the amount of money you pay out of pocket you could turn part of the home to a STR or MTR.

You can find higher ROI (on paper) here and probably in other cities…but the probability of actually collecting rent significantly decreases.

I have added pre-payment penalties on my refinance loans to decrease my rate substantially. 

This can dramatically decrease your applicant pool and revenue.Can you do a rent by the room strategy of FF?

decreasing appreciation?  

If an asset is throwing off a certain yield that is not commiserate with it's risk, then investors will then begin paying more for that asset, thus decreasing it's yield....or start paying less for the asset which would increase it's yield, until it was at the proper risk/return rate to produce the yield that is truly reflective of it's risk.The problem is novice real estate investors get the risk/reward correlation backwards.