I think you're missing another point-- if rates increase.

•If CPI remains high (3.4% or above): Mortgage rates are likely to stay at current levels or even increase slightly as the Fed remains restrictive.

After a year at staring at insurance data daily, AZ insurance rates are only increasing marginally, while most states are damn near doubling.3.

Eventually, Class A property values increased to the point that even increasing rents didn't allow them to cashflow upon purchase.So, the flood of new investors switched to buying Class B properties.

There are very few fully integrated turnkey operators in the business today.  

@Jonathan Blanco If you’re worried about $3000 in fees you’re in the wrong business.

Recently I got a huge increase also.

Here are some key highlights from the report, which compares January 2025 with January 2024:The median sales price for the greater Austin metro fell 4.7% to $409,765, while the City of Austin saw a 4.7% increase to $553,465.Total sales in the metro rose 1.1%, whereas the city saw a 4% decrease in closed sales, demonstrating continued demand in spite of economic challenges.Pending sales under contract dropped 7.5% in the metro and 1.4% in the City of Austin, suggesting a slight decrease in demand at the start of 2025.Listing inventory increased 16.5% in the metro and 15.5% in the City of Austin, resulting in 5.6 months of available housing inventory in the metro and 6.2 months in the city, approximately one month more than in January 2024.According to the Texas A&M Real Estate Center, a balanced real estate market has around 6.5 months of inventory.

True business man!

.- Put Upward pressure on real estate operating costs: Increased costs for raw materials and supplies, and the likely increased costs for labor involved in many real estate related CapEx and maintenance projects signal the risk of increase in costs for real estate operators.If there is no impact on near-term supply, a modest slowing of inbound (illegal) migration, more reason to believe that the cost of many goods and services will increase, and real reason to believe that inflation triggered by something other than an increase in the money supply (namely the cost of specific goods and services that are NOT housing going up, which comprise the CPI) will force the Fed to raise rates, this, on the whole, is not good for real estate investment returns.