In the City of Austin, we saw a 6.5% increase to $575,000*Total sales increased 2.5% in the metro.

Class A properties are going to cost you more, have lower cash flow, yet be more attractive to a higher quality tenant base.

Rent rates have increased so quickly over the last few years.

The longer term loans would have lowered your monthly payments and decreased the costs.As for rent, each year you need to look at rents in the area to decide how much you will be increasing the rent by. 

Not only does it hurt the returns, it is a very attractive target for ambulance-chasing lawyers and title fraud.  

.- Over a 10 year period cashflow will increase as rents increase (rents typically rise faster than property taxes, insurance, etc.)- The property should be appreciating, if purchased in a good location, increasing the owner's equity/wealth.- Rents will be paying the mortgage off, increasing the owner's equity/wealth.- If you hold a rental until death, you can pass it on with a stepped-up cost basis, limiting captial gains if then sold (limited by inheritance tax limitations).Too many newbies on this site trying to replace their day job income via "passive" real estate investing w/o digging deep enough to understand how it really works.

Quote from @Noah Wright: No, but here are some ways to increase ARV most dramatically:1.

As other people have mentioned, does it increase risk of being rent controlled down the road?

In this study, new construction is defined as a habitable structure requiring load-bearing features and MEP utilities (mechanical, electrical & plumbing)Below shows which cities have had the most activity:Question: Do you see activity increasing for the rest of Q1?

Slightly increased the offer to quickly go under contract, but still had inspections and everything done before completing the deal.