My issue with his line of thinking is that if you pay 200k for a house that rents for ~$1,400/mo, you are holding a house for years on end that may just barely cover expenses, or even lose a small amount each month, in hopes for massive appreciation at the end.Am I crazy for thinking that is a risky proposition when you can buy other homes that will earn you money each month while you wait for that hopeful massive house appreciation in 10 years?

Build up your sales business and start buying property but remember this is a get rich slow proposition.

If I can be off by that much then it is a very risky proposition indeed.

Think about it... lots of good real estate experience to be gained with this proposition... you get to look for a deal, analyze whether the numbers work, perhaps do a little rehab work, and try to convince a skeptical investor (your parents as cosigner) to go along with it. 

In CA, the taxes stay based on the original purchase price since a law passed back in the 1970's called Proposition 13.  

Here is an idea on how to have a conversation about the proposition. 1) Praise the tenant for a good track record.

Many of those people actually sell their properties under a 1031 tax-deferred exchange to get the equity out of the state.And like @Charles Lemelle points out, it's nearly impossible to find property with a 1% rent-to-value ratio here.Trying to invest in condos here is also an expensive proposition as the condo fees are often very high.Last but not least, don't bank on appreciation. 

The broker's job is to oversee the agents under him, so he probably doesn't want to have the responsibility of managing you all, and if he doesn't manage you all, then that's a risky proposition for him.

Letting tenants pay slow almost always ends up being a losing proposition for the landlord.  

Brand is only part of the value proposition for HVA or WBH.