@Jeremy HartwigYou are missing a lot of important data, such as median income of the area, rent comps in the area, what current values are.You are buying on actuals, but in many markets that have low supply and have a lot of demand, it makes it difficult buy based on actuals.

He's a really smart guy when it comes to supply, demand, rent control, and overall investing

The other options you are playing with fire as using a HELOC that is paying interest is essentially buying with 100% financing.Having no skin in the game has always been a high risk strategy and people were able to get away with it the past few years due to the money supply and inflation but I would not use that as the measuring stick.

This was so important to our business that we covered the cost of these consumable kitchen supplies for all our owners.

How do you handle contractor schedules and supply chain slowdowns?

One of the reasons there is short supply of housing is because guy bought a 5 bedroom in 1980 and he is paying $1000 a year for it.  

I'm not an expert on the loan part of your question, but as far as the permit status goes, I do have ample experience.

When the biggest buyer in the market is gone, supply balloons and rates have to go up to bring in buyers.

I would go to $1,050 in year 1 and $1,250 in year 2 (or something similar) and provide ample notice.

They just keep saying they’re having supply issues.