Don't tweak and spin things to justify it being a good investment..... you are rationalizing yourself into making it a good investment, when its not.

This is why the rational consumer theory of maximizing utility in economics was debunked. 

A high percentage of my clients are NY and NJ based investors that come across the river for the lower price points, higher purchase price to rent rations, and more favorable landlord / tenant laws. 

Nice area nice building lots of room for improvement but despite all my rationalization I just couldn’t make the numbers work and had to move on .

But it's a double edged sword, some think of it as a way to improve themselves, they get better and improve so they can make more money at what they do.The other side take it as there's money to be made so I need to maximize the profit margin so I can.......Honestly, I'm not really sure HOW they rationalize it!!

Rational people don’t risk what they have and need for what they don’t have and don’t need."

Never rationalize a bad deal based on future events you have no control over. 

Any rational / reasonable allocation factoring in materiality will suffice.

In talking with RE investors who choose to cash out versus hold, I'm always curious how they rationalize the decision either way.I know some people say "use this opportunity to sell some assets in worse neighborhoods", but I also disagree with that sentiment.

Meanwhile the result is not to my satisfaction and the investments miss their rational potential.5.)