It is a matter of time.Real estate investment is for many not a rational investment, it will go south eventually when numbers don't make sense.It looks like the bar conversation did not consider investing when the numbers make sense.

While not entirely rational, the MFRE market is dominated by professional investors, and is therefore more rational.MFRE Is not strongly correlated with the overall economy, while SFR house prices are strongly impacted by consumer sentiment.  

So much rationalization on this thead from "cash flow" investors.So the year over year, long term 9% annual appreciation and 6% annual rent growth over the last 40+ years in Honolulu is speculation and irrational exuberance?

For SFH, we were able to refinance two homes back to back as long as income to payment ration was below I believe 40% or so.

Depending on  your finances, that may bring your debt to income ration up to high.Goodluck!

Hey @Ozzy Sirimsi, yes like @Ned Carey, what you both are saying is truly rational.

Don't let your emotions take over your rational decision making. 

And that is something you can actually use to your advantage when talking to them, assuming they are calm, reasonable and rational when you try to talk to them.You explain that you have an attorney on retainer prepared to file eviction, but would prefer to allow them some time to locate alternative rental housing first since the eviction filing could hurt their chances of acceptance with most landlords.

I have rationalized that since I'm essentially buying this property for 4 times the original cost by paying off the ridiculous mortgage I got stuck with, I should be able to use that as my cost basis.

That's just another form or rationalization, which can only get you into trouble.