Are you going to inspect, enforce rules, and maintain your properties or let them gradually disintegrate into slums? 

It totally disintegrated when touched for about 4 feet at one end. 

Then listen to what Bill says above...As long as everything is functional and not putting the property or tenants at risk (nothing is about to leak, explode or disintegrate), hold off on the capital repairs until they need to be done.The one exception is stuff that would be a PITA to repair while a tenant is in the property.

Purchase price 147KListed for 299K, sold for 285 (went under contract for 290 but dropped it another 5K at buyer request after the appraisal just to get out of the deal)Home Depot credit card: 10K (appliances, fixtures and other things we picked out and purchased ourselves rather than having GC use typical builder grade stuff, also husband did some of the work himself so bought his own materials)Brought 40K of our own cash to the closing table, loan total when paid back was 185 (original loan 175 plus 10K in accrued interest, 12 month balloon loan so we did not have to make payments during the rehab, which helped a lot with cash flow, also loan had rehab costs folded in so for the most part we paid our guys out of the loan and not our own pockets)So (numbers are round): 285 sale price - 185 (loan payback) - 40 (cash we brought to closing) - 10 (Home Depot card) - 10 (closing costs) = 40K profitWork done: insulation and vinyl siding (this ate 18K of rehab budget but was unavoidable as cedar shakes were disintegrating), converted to natural gas heat (ducts already in place, changed out electric hot air blower to gas one and gas company ran the gas from the street for free), replaced AC compressor, new water heater, two new bathrooms, replacement windows, new appliances but left the wood cabinets b/c they were in perfect condition and I could not justify painting/replacing them, new kitchen backsplash, removed wall between kitchen and dining room, wood laminate flooring throughout except for new carpet in downstairs den, painted the deck/railings, new garage doors, one new slider, all solid wood interior panel doors, of course fresh paint and new light fixtures throughout.dining roomThere was moisture damage downstairs from bank not winterizing and pipes bursting...thanks, bank.Hauled out enormous old woodstove and broke up ugly old hearth and left good flue for someone to add new pellet or woodstove to if they want to, we figured not everyone wants a woodstove and this way the buyer can decide to add one back if desiredBathroom off downstairs den, chose a walk in shower for variety, hosing off dog or muddy children, disabled access, etc. 

Obama disintegrates anytime that every word isn't there on his teleprompter!!!

An acquaintance who purchased a 5-unit stone & brick building painted grey three years ago, had it bead blasted to remove the remnants of the flacking paint.Another hazard of painting brick is application of the wrong type of paint, or too much paint, can inhibit the brick's ability to dry resulting in spalling and accelerated disintegration of the brick.

During this phase, growth ceases, and property values level off.Then finally comes the phase of decline, or disintegration, which is the time when deterioration sets in, and property values fall.

The first  apartment that we did this in was in an apartment house where the sills were totally disintegrated from the the shower water.  

It's compounding effect of multiple strategies, multiple actions, repeated with regularity and persistence.It is about building a pipeline BUT every foot of pipe laid requires regular maintenance or else it disintegrates into nothing and is gone.

But maybe it's the Zombie-apocalypse prepper in me, but I like the idea of having something in our portfolio that's actual property, rather than just structures that will disintegrate over time.Am I crazy for wanting to make the less lucrative investment?