The risk is far lower, with a better ROI.OR you can consider learning about government contracts and performing lease matching. 

This does not align with buying most buildings in cash.Once you progress in your investing efforts you may come across more UHNW individuals, family offices and institutions who would take the lower return for limiting risk (all cash deal).

I get a new tenant at a LOWER rent, ALWAYS late, and then ... the septic tank GOES TO HELL

They do not appreciate like actual real estate and your caliber of tenant can be lower which can bring with it its own problems. 

I invest primarily in a lower cost area but also own property in, and am looking in, a higher cost area.

Most users of VRBO have one single 5-star review, thus our threshold is lower. 

Yes, that means he will have to give up his 3.5% rate (or whatever it is assuming lower then today rates) but it is what it is. 

that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Here’s what I recommend instead:Offer Value Beyond Price: Rather than just lowering your rates, focus on adding value to the guest experience.

You don’t want the stress —- so don’t do it.