My attempt at a comparison is below.Background on existing rental:Value:~ $400KEquity: ~$250K Original Downpayment: ~$25KPrincipal paydown: ~$7K/year (loan has 15 yrs left)Price to Rent Ration: .47Cashflow: $150/monthThe thought would be to take the equity and buy several lower value, but better cash flowing SFRs in a market such as Kansas City.

I work in northwest Indiana we have a higher ration of renters to rentals available.

I'm just trying to understand the rational of leaving $63K into a property with the hope for appreciation.  

However, she also has times where she tends to freak out and I am unable to rationalize with her as she gets so wound up.

I thought he was referring to an annual tax rate similar to the 4% assessment ration of an owner-occupied property for non-resident real property.I think what Jonathan is referring to is a 2011 law called something like the ATI law.

I know you will use whatever logic is needed to rationalize the fact that not following through with the contract is unethical so this is definitely a waste of effort typing, but it is in this thread for those not familiar with the other threads.

When I fist scanned the title I thought it said you were from the government and here to help.One of the scariest phrases known to rational beings. :-)Welcome aboard!

Originally posted by Phillip Gainey:Inflation hedgers have close to doubled their money in the last year or so.Gold, like real estate in the 2000s, technology in the late 90s, etc, is likely in a bubble due to the "irrational exuberance" of investors who think they are outsmarting the system, but in actuality are just acting in herd mentality.Your statement that inflation hedgers have doubled their money in the last year is certainly true, but it's likely based more on speculation than any rational economic performance.As other examples, anyone who has invested in the Dow for the last two years or so has doubled their money as well.

The only way a downturn would impact you is if you allowed yourself to buy a property with negative cash flow (foolish), rationalizing some future event you have no control over will save your "a...".  

The potential for a location to be "fun" is a lot more appealing than washer/dryer/free internet, low utilities, parking or any other rational point.