If we get hit with any sort of inflation, this leverage becomes even that much more powerful.   

Do you use the national inflation rate?

I've been reading up on rent control and I see that according to new laws, I can only raise the rent up to 8% max to account for the 5% increase and inflation. 

Stock market (index funds) return an average 7.5% adjusted for inflation so I believe if you're doing REI, at least shoot for something higher than the market. 

That way you aren't inflating your expenses right now, but leveraging your equity. 

A lot of the COVID19 deaths are inflated according to epidemiologists.

Many wholesalers tend to inflate the ARV and underestimate the rehab.

A downside of paying off the loans removes my inflation hedge.

They will then either take the average of the 2 years if your income is up, or the lowest if It’s on the decline.If they don’t verify tax return, one could inflate his returns and make up his history especially if self employed.

The reason being that it lowers your total OpEx and to show an inflated NOI and thus an inflated valuation to the market.It's relativity easy to identify and the easiest way to factor it into your own underwriting is to understand how much it will cost you or your PM to do turns/regular maintenance.