The increased cash flow and the ability to pay down the loan more quickly are the biggest draws for me.Am I underestimating the time commitment of managing a multifamily property?

Quote from @Gloria N Gear: Quote from @Owen Rosen: Quote from @Gloria N Gear: Goosehead Insurance -- I saved about $1300 across 5 properties and increased my coverage. 

The market is crazy right now and will be for the next 2 to 3 yearsdue to inflation devaluing the dollar, inflation increasing newbuilding costs.

For C to B-Larger developments announced nearby-Increased activity in new construction-Building of commercial retail in or near the neighborhood. 

ADU increase value less than the hands off ADU addition, but a developer is not a hands off ADU addition.Thanks

As other people have mentioned, does it increase risk of being rent controlled down the road?

I do agree that operating costs (insurance rates) will not go down and may even increase over time.

Went a bit heavy on the annual taxes due to the increase in the area the past few years.

Whether or not you believe there will be drastic changes, we are already seeing increasing weather events with unusual patterns like the hurricane that whipped through Central (Inland) Florida in 2024.

My guess solely looking at your numbers is that it's an older/distressed property which means you have to account for more costs in capex. 2nd thought being it's not in the best of neighborhood then you'd have to take into consideration lower quality tenants/ neighbors and maybe increase expected vacancy and late payments.