I saw a few illustrated rehabs on this forum or note purchase.

You illustrate the many hurdles that go into doing something like this, adding to the list of reasons why there are not many companies doing it in the first place.

As he so beautifully illustrated, the low cap rate in areas like San Diego go a very long way in helping to force appreciation.I saw another poster above comment something along the lines of "Why would you put $420K down for $9,600/year?" 

To further illustrate the point and how I'd advise managing it, let's look at another common mistake I hear all the time here on BP.

I have about 14 years before I am forced to make withdraws.For my illustration here I would assume to purchase 4 single family homes ~$100k each.  

If they will do a loan with less than 1, the pricing takes a hit.I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23This property cash flows. 

I would have thrown up the white flag of surrender years ago without more of a goal than making money.That said, like @James Wise has pointed out so illustratively twice, I no longer 'rescue' single mom's from the half-way house.  

It has also been written and illustrated nicely through graphs and charts that we need china, but that china doesn't really need us so much, or as much.

It's leaking whenever the water is turned on and I have a pic below to illustrate the leak.

(It doesn't matter for this illustration that the company would not be earning profits.)One day, the company hires a new employee who is willing to work twice as hard as the other two employees.