Since then prices have fallen 95% in inflation adjusted terms.

Quote from @Daniel Araque: I'm writing this in hopes that maybe Tardus leadership adjusts this....

The carrier rating for Obie policies range from A+ to A-.You are probably aware that many carriers are leaving the State of California due, in part, to the significant regulatory challenges they have with making adjustments to their products that the state always has to review and approve.

We will likely have to make an adjustment at some point, and I would rather perfect our systems while we are small.

@Justin PumprAs real estate investors, you should stabilize your portfolio, focus on debt management, adjust contractor relationships, implement stricter risk management, and tighten underwriting criteria.

Doug our CEO built something similar 15 years ago and we are still making adjustment.  

Gain is your net sales price minus your adjusted cost basis (purchase price plus capital improvements minus depreciation). 

If you have an adjustable rate mortgage and it is likely to increase significantly in the future, rent growth rate may not compensate for this and cash flow is likely to get worse over time.

Do taxes adjust when the property is sold?

one truism I think for rental real estate is returns and price points are very much risk adjusted highest returns lowest price points  biggest risk.. smaller cap or return and prime location least risk..