Everyone I talk to in Northern California, from the bay area to Redding will still tell you there's a shortage. maybe a correction in Phoenix will calm the SoCal market, but I doubt it will create a correction there. but I'm spitballing, what do I know. 

Does 8% preferred return, 70-30 split waterfall model, 20-22% IRR sound like a good deal?

I then get into real panic attacks where I then can't eat and then have to do deep breathing to try to calm myself down.Does anyone have advice on how I can deal with this condition?

We use a waterfall structure, 8% preferred return, then we take our asset management fee, then split the rest based on the deal's equity split structure. 

The first is necessary and learning how a model flows, how changes of income, expenses, waterfalls all effect the overall returns.The second requires market knowledge and monitoring, research reports, experience in the market (either personally or through others), etc.  

Guys, calm down.

As a side note, how do you keep calm and not get swept up with anger over this?

Usually based on IRR with a hurdle rate of 8% for shorter term holds and waterfall for longer term holds.  

I get that there are "crickets" because your team is now rushing to put out the fires (in silence... it would have been more productive to have announced it that your developers heard the public and are on it... it would calm the herd down a bit... but heck...

I let them know it's all handled through this respected local bank and they visibly calm.