No question.There are good reasons to use leverage in some situations but, it is not a one size fits all tool.And using leverage ALWAYS increases your overall risk.As to the increase in cash-on-cash returns, no one seems to take into account the effort and additional overhead expense in handling more properties.In the example given in this thread, you have doubled your effort needed and increased your overhead expenses for a rather small increase in the cash-on-cash return of your $50K.Extensively using leverage and adding more and more properties reaches a point of diminishing returns very quickly.

some people have seen their premiums exceed $12,000 to $15,000 per year.The value of flood zone properties going forward is going to be greatly diminished.

The exclusivity of the MLS being of diminishing value?

A real estate investor needs to always be above board in their communication and dealings or else the publics' trust in what we do will be diminished.

Banks use leverage to borrow money from other banks, so if their balance sheets were to suddenly lose a tremendous amount of value from their balance sheet, their ability to borrow would be greatly diminished.

What an IRA is intended to accomplish is to allow you to build a large savings over time, since it is not diminished by taxes.  

Make a reasonable argument for the diminished value of the property if the neighbor successfully builds the new structure.  

Your ROI on your time was very heavily diminished.

Without sealing the air penetrations from conditioned to unconditioned space, the insulation R value will be strongly diminished and the dust, draftiness, high utility bills, etc will continue. 

You let one hour pass, the likely hood of that person being a buyer for you rapidly diminishes.