If you have a BAD tenant experience on this property as a rental and lose several months of rent and incur substantial tenant damage that is all coming out of pocket whereas if you had even a handful of rentals the performing rentals and the monies budgeted for capex/maintenance/vacancy will carry that sort of loss.

Just sayin.. any city of say 50k or less an hour or so out of any of the mid west cities will have all sorts of sub 100k homes and less crime for sure..

I had a gun pulled on me doing that, but we sorted it out before he pulled the trigger. ;-) 

. ;-)2023 Was The Worst Year On Record For Existing Home SalesClick to enlarge Yes, I said even in 2022 that 2023 will have low transactional volume. 

Or develop some sort of subject matter expertise.

Basically, they do not want lawyers to deduct the cost of law school and doctors to deduct their medical school - which sort of makes sense. 

Put the money into fixed income vehicles of various sorts and walk away and spend more time drinking wine and catching fish. 

But since J properties generally depreciate over time (not like properties back home which appreciate), the idea of sinking cash into a property that is worth less five years from now is not terribly appealing.Like you say, then the question is what sort of yield can you get, and will it cover the deprication losses?

Just think about the worst damage a tenant can cause, such being liable for setting your rental house on fire or burning down your rental house and the neighbor's house, etc.

Sub s is the worst way to own investment real estate.