I expect West Chula Vista to out perform San Diego as a whole. 

That is money that can be re-invested and should easily outperform a conventional RE financing. 

I am comfortable with paying progressively higher fees to a sponsor that out performs which is the example that @Enrique Huerta has highlighted.Also, the LP typically own’s all of the equity and the promote is an allocation of cashflow or returns so not technically an allocation of equity in the deal.

Now that I've bought a few MF's I have the commercial brokers calling me so I'm seeing more deal flow. 1% is hard to find but honestly my own experience has been an inverse of the 1% rule: the one property I purchased at .5% is actually outperforming the one property I bought at 1% (the rest were somewhere in between). 

For two identically designed policies, the IUL WILL outperform the WL over time.In regards to this comment...4) Be prepared to properly fund the account.

The cash flow on the 5 would certainly out perform the 4. 5 units also spreads your monthly revenue out over more tenants giving you more cushion from vacancies.I'm curious about the reason someone told you to go with 4 units. 

Zillow published an article on the housing markets that are most likely to outperform in 2020 on Jan 1, 2020.

It is probably OK cash flow that may out perform because it is self managed and the owner is local which may allow him to do better than the 50% rule.  

Traders do not outperform the market in the long run, the statistics do not lie.However, people are always going to need a place to live.

ROI is much higher and can out perform those betting on appreciation.