It is much harder to find a 2nd lien lender on an investment property and, even if you do, they are going to have maximums on the collective loan to value between both liens.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

Even if you don't have rent caps, it is better to do smaller increases each year before you find yourself in a situation where you are far behind and need to catch up. 

How about a nice picture of your living room or even the front of the house first, followed by the video games?

You do a 1031 to a new, larger property with even more depreciation.

Buyer is a newly formed LLC out of Houston, so even farther away.  

BiggerPockets also has a calculator to analyze deals, and I highly recommend you start this as soon as possible, even if you are not ready to buy.

It’s great to hear you stuck to your plan and still came out ahead, even with a few bumps along the way.

Which is why I pay more, for less cash flow in highly desirable areas.In high income areas, rent is a lower proportion of income so therefore your tenants have a higher capacity for paying higher rent because rent is less than 20% or even 10% of their income.

The numbers will absolutely need to make sense in order for me to even consider going through with a purchase.