Being intentional and knowing that one has a low ROE is one thing but some just don't realize it.The sweet spot for many investors is modest leverage.

Courtesy of the video, criteria to consider include Deal Type, Management Plan, Business Plan, Financing, Asset Class, Ownership Structure, Property Class, Location, Purchase Price, Rehab Costs, Risk Target, and ROE Targets.

Do you mean ROE? 

Thus the bar can go down for the net profit needed provided your investor base is willing to accept the absolute dollar versus ROE tradeoff.

One of the biggest misconceptions I witness time and time again with investors is regarding their ROE (Return On Equity).For example, if you acquired one of your SFH for $100,000 and paid all cash (Mortgage Free) and we subtracted your expenses at $2,000 from gross rents of $12,000, you would have a NOI of $10,000. 

I haven’t heard that the Biden administration want to overturn single family zoning laws nationally, but presuming that was a goal it would be the single biggest role back of government intervention in property rights in recent memory.

ROE is dependent on financing? 

@Caleb Heimsoth ROE is extremely low given that I purchased with 5% down with no forced appreciation on the front end.

I get it, you can call it what you want--ROE or whatever.