The laws Jersey put in place to try to protect homeowners in foreclosure really hurt their recovery.

Such markets are “hip, urban, walkable, and attractive to the millennials” while providing better future opportunities for rising net income and appreciation than the 24-hour city markets that led the post–financial crisis real estate recovery.""

I took another look at IRS Pub 527, Table 2-1 ("MACRS Recovery Periods...").  

This is the key to getting them to run away from thus asset.Go back to the IRS and ask for Supervisor in recovery section Special Proceedures Unit.

DC has had some areas that have far exceeded the bubble prices (Logan Circle, Petworth, Trinidad, Shaw) while other areas have not come close to recovery (Prince Georges County, Montgomery Village, DC south and east of the Anacaostia,)

@Jeremy Adkins Without going into depth on your credit availability or myriad options in financing, it comes down to recovery of your down payment and any renovation expenses. 

b - $14,421 number - your first year expenses, your CCR is 10.8%3 - If you maintained those returns it would take you   a - 7 years to recover your cash   b - 9 years to recover your cash4 - You don't start making a profit until you recover your cash5 - All these numbers don't include vacancies, repairs, CAPEX, etc...6 - The odds of anyone maintaining those numbers for the recovery years is, well, not going to happen. 

Creditworthiness of tenants, recovery of expenses, and length of remaining term are some others to consider.Of course, market factors are just as crucial and diligence should be exercised in that regard as well.

Due to hamstring tear while performing, I recently had to leave the tour I was traveling with to take a few months off for recovery and physical therapy.

By comparison, from years 5 - 10, you would be profiting $9k/year per property...so you would have accumulated $270k in profit when the Option A finally starts to profit in year 10.2 - You have 5 properties appreciating, all reaching "cash in recovery" simultaneously after 4 years.3 - Assuming you will use the CF as a DP on future properties, you will be able to buy your next property (20% DP = $36k) within the 1st year....with $9k extra.