An uptick may be due to the decrease in bonus depreciation by 20% in the new year.

Depending on how much cash you have on hand, you might be able to pay points on the loan and decrease the rate.

Would your -$1000 decrease in a  few years as you raise rent? 

Yes, there may be some depreciation in certain markets in the next 6 - 24 months but overall when interest rates decrease buyers are going to flood the market and prices will increase again. 

Jack MillerI have not had any tenants not pay rent, but I have seen rents soften for multi family and condo rentals (roughly 5-10% decrease in rental rates). 

I didn't want the hassle, so I am taking about a 10% decrease in revenue, but I have less to deal with.

Or is it mostly just a play to decrease volatility in booking rates? 

Also, if zoning restrictions were to be relaxed, could the area end up like others with abundant supply, potentially leading to a decrease in property values?

In nearly every case, the IRR continues to decrease the longer the property is held even though the cash flow is increasing.

Subtract depreciation, explained here:https://www.biggerpockets.com/forums/51/topics/1121063-expla...Because of Step 2, depreciation, many cash-flowing rentals end up showing $0 net profit, resulting in no tax increase and sometimes in tax decrease.