Note if prop 33 passes, SFR can become rent controlled.  

@Ananth SubramanianThe thing to remember is this: you can't control what other people do, only what you do.

I borrow dollars from the bank and immediately sell those dollars to owners of commercial income property that I want to own.And then I buy those dollars back over time using the cash our tenants pay us in exchange for using our space.I'm currently shorting $10M and I can't lose regardless of who wins on 11/5By the way, the dollar will always decline in value so this thesis is applicable in any election or economic cycle.Go vote for whoever you feel strongest about, but remember you have infinite more power and that which is within your direct control. 

This November, California voters will decide on Proposition 33, which could repeal the Costa-Hawkins Rental Housing Act, expanding rent control options across the state.

Of course capex does come into play, but I have a lot of factors on my side including most major components of the property have been replaced already, including roof replaced 2 years ago, water heater replaced 3 years ago, full house was just repiped, septic system is 5 years old, HVAC system replaced in last 7 years, i do not cover appliances with warranty in my rentals, and the tenant I placed in the property is a single dude who works 60 hours a week and just needs a place to sleep.

I see the value in not being overwhelmed because of a failure to properly build a situation with systems and organization.

It requires a lot more work, follow up, and it's necessary to have systems in place to support the tenant vetting, rent collection and creating lease agreements.

I am willing to be dollars to donuts that most of your Section 8 tenants are able-bodied humans intelligent enough to get a job and pay their way through life, but they somehow manage to milk the system.

When a deal falls through, especially for reasons beyond the seller’s control, it can really impact the MLS record and even stigmatize the listing.

Then, before buying anything else, make a list of all the learnings you got from this experience, and then list the systems and policies you'll put in place to ensure you never do this again!