For rates to drop considerably something has to change in the economy.

I’m a couple hours north of Boston but there’s always tons of people looking to move so a longer vacancy or having to lower my rent prices is not even a consideration.

When I ran the numbers I always considerer a macro change with Euribor increasing to 5%.

Now the other consideration is your lender.

How do you balance these considerations when choosing a location? 

(I know, San Diego is considerably south of L.A., been there, done that, nice place, but to most people in the U.S. and the world, L.A. / San Diego distinction is lost on them. 

We were so busy surviving, legacy building, financial planning or investing never came up for consideration (for most).

That's a very good point taking the potential further value decrease into consideration (like when running the ARV for pricing it out to the end-buyer), so it makes sense that, like you said, it would have to be a great deal.

If that is one of the only contractors and the lien is considerable that’s another story - but not enough info to tell

Illinois just legalized recreational weed, however some of my tenants have been smoking it in their apartments long before legalization was even a consideration.