While I would have built $150,000 in equity, the cash flow simply doesn’t work.Now, let’s compare this to the market conditions when BRRRR was highly promoted (pre-2020).Interest Rate: 4.75%Monthly Payment: $3,057/monthRent: $3,600/monthIn this scenario, I’d be making over $500/month with $23,000 left in the deal, resulting in a gross 26% cash-on-cash return—an excellent deal.As you can see, rates and prices play a critical role in the viability of the BRRRR strategy.

It can provide a very misleading valuation.Your appreciation numbers reflect just below 4% a year (I used 8 year hold) on both properties which is below national average for this period and below what neighborhoodscout depicts for Chicago 10 year average. https://www.neighborhoodscout.com/il/chicago/real-estateLooking at this from the outside, I am missing a lot of details such as your interest rate, is there a prop tax benefit for long holds (by the way look up prop 13 for CA at some point as it may play a role in your decision to purchase once you relocate to San Diego), the neighborhood, appreciation potential going forward, any emotional attachment, etc.  

Appreciation in most Sec8 neighborhoods is very low so it’s a cash flow play.- I would highly suggest you plan on using a property management company.

Mailing is a slow play and takes volume.

That's a power play. 

@Tyler Garza keep it simple and play the long game.

It’d be interesting to see how that plays out in the next few years.

And that is really saying something because I invested a tremendous amount of myself and time into my small business and learning to play guitar and my personal recovery and growth as a person.

The borrower's financials play a big part as well.

I also think, the flat rate ppl are playing to a race to the bottom.