Let's say you do a brrrr deal and the ARV of the property comes back less than expected.

But when I run the sample numbers these properties are always coming back less attractive than the others (even when accounting for additional expenditures on the properties that will need some type of work sooner than later).

I do understand that due to inflation if I kept the loan for 30 years I would pay back less.

I have heard (but not direct from an investor) that early last year, a crowdfunding platform's New York deal fell through, and investors got there money back less some platform fees.  

The nice thing about the recapture is that it tops out at 25%, so you generally have to pay back less than the tax benefits you received during ownership. 

Ibn Abney - I think you get back less than 100%, more like 70-80% for new appliances.

She is willing to work with me if the appraisal comes back less than the negotiated price.

He is potentially going to pull his property off the market for you and wants to make sure you are someone to take seriously as the last thing a seller wants is to loose up to 30 days to someone that doesn't have the experience/stomach for the deal and that you're not just a tire kicker.You will have earnest money up (typically 1%) but you can still bale on him within your feasibility (due diligence) period and get all back less independent consideration.He's trying to vet you before contract.

So, from the perspective of the expected payout on such a policy, you will get back less money in claims than you pay out in premiums.  

Ask yourself would somebody else that wants it more do something you are not doing or is your pride holding you back. Less