Sure there’s the hope of appreciation, but that’s not guaranteed and I like to know that my mortgage balance is shrinking even if it’s very slow.

If the rental market is not favorable, you’ll likely see less investor activity and therefore less potential buyersAvailability of Data and ResourcesAccess to market data and networking resources can be a huge benefitConsider things like; access to county/court data, is it a non disclosure state, etcCommunity and Economic Trends Understanding local trends/issues can provide crucial insight into your target marketYou can operate virtually, but it’s still important to develop expertise in your target market*** Good market selection is not a guarantee of success.

We also guarantee the listing back when owner/investor decides to sell.

For example in Texas they probably pitch you can make 25-50% government guaranteed returns. 

No guarantees and that's why there are Syndication attorneys and SEC rules in place making sure that accredited investors understand the risk they are taking. 

So getting 6% to start and getting tax depreciation with hopefully some property appreciation value in the future could be a good investment although any investment is not guaranteed.

its guaranteed. 100% irrelevant HUD Does Not Pay Security Deposits Those that do not have the SD you are not renting to, it's all about screening.

Please  understand just because you put it in a LLC I personal guarantee will be required.

The only guarantee after buying a property is that you are about to spend a pile of money (whether you furnish it or not).

Compare that to a deal with negative cash flow with no guarantee that you will make money from appreciation.