There are so many reasons, but here are some of the highlights:  (1) they are valued on the sales comp. approach; (2) they are hard to finance because they are valued on the sales comp. approach (comps are hard to find); (3) it's much harder to find deals on them (more sophisticated owners with inflated senses of value); (4) they tend to be clumped together as opposed to interspersed in SFRs, the result is that other landlords actions have a much more significant impact on the operation of your property; (5) you don't achieve any economies of scale (they're too small); (6) they are more management intensive (anytime people share walls, there's always going to be drama); (7) they tend to be illiquid (see point 2); (8) they have more turnover than SFRs; (9) unless you're getting good deal on one, they don't cash flow that well; (10) a lot of them have owner paid water.  

It takes a sophisticated investor to actually create real value from just the purchase.

Also I would not be paying for the Payroll or Other Expenses line items.Also until 2/07 the owner had 4 properties.

The reason the more sophisticated note sellers do not want to engage an intermediary is that they can go direct to the source (direct buyers) themselves and avoid the middleman fee.

Maybe I had grown a little more sophisticated financially since I first heard of the game, but I found the "lessons" to be learned from playing rather obvious.

RESPA on a primary residence, consumer loan, so we only lend to investors on investment property-Therefore, if an individual owns his house free and clear worth $500K and it is his primary and he has bad credit and cannot get a loan from the bank, and he is a sophisticated business man, and he wants to borrow just $50,000.00- we cannot lend to him because of the Dodd/Frank act.

Don't worry, the fake wood paneling will scream sophistication.

This works for us because it's run like a business with payroll.

Many investors don’t have a payroll.

Obviously, the Housing Authority is a bit more sophisticated than the typical tenant.I simply am at the property that has a "For Rent" sign out front, with a phone number on it that rings to my phone, and I have the keys to let them in.