Those are issues that will keep away a family of tourists from NYC who would normally be spending money and stimulating the economy.

And when you imply that LPs can have that lifestyle, too, it certainly attracts capital.  

Currently they are a tenant and falling behind on payment so you can use that as your reason, and you can start the eviction process. however you need to check state laws when it comes to applications for rent, because you can not discriminate against child support, it is considered legal income. this is from NJ site, but other states do follow this.http://www.nj.gov/lps/dcr/housing.html so be careful on who you turn away, make sure you set up a criteria as Account Closed mentions.

This monetary policy is intended to lower interest rates. essentiallywhen you print currency your devaluing it causing prices to increase (more dollars chasing fewer goods)also lowering interest rates has a stimulative effect to increase pricing because people borrow moreAnd it will make consumer goods and asset prices more expensiveThe people that survive and thrive during inflation are the ones that are buying assets and I believe low down payment loan programs are great for buyers just getting started and for buyers who already own property.

Not sure how that is supposed to immediately stimulate the economy but that is what I've read. 

Adding a 500k house to the property would put it into the 2m price class (was my retirement plan) at that point I’d sell it with around a 1.5-1.8 gain on my actual cash invested and the only people who would be able to afford it would be the Wall Street bankers that wouldn’t put their kids in the school and wouldn’t stimulate the local economy.

The other LPs in those funds would need to agree to this.... 

Back then, unscrupulous lenders stimulated housing demand artificially by making lending unrealistically over-available leading to rise in home prices well beyond their actual value. 

In the worst case, I've seen contracts where LPs are made to personally guarantee the loan.

I.e. if there is $1mm of net loss in that year, the syndicator can take $300,000 of that loss, leaving you and the other LPs to split the remaining 70% prorata based on equity invested.