Eventually, Class A property values increased to the point that even increasing rents didn't allow them to cashflow upon purchase.So, the flood of new investors switched to buying Class B properties.

If you have a high level of faith in the company you are working with, then time will do what it is supposed to do and increase your IRR.  

The victims are a family in Texas that loaned him their life savings.Any leads on his financial assets would be appreciated and greatly help this family. 

@Rory DarcyRecommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

But everyone has their own unique financial situation, financial goals and risk tolerance.

Tenants lease expired, so I offered a new lease with a $25 increase. 

I would like Lawrence or areas that are starting to increase in value but not as high currently. 

@Fred Robertson, I was actually reading a little about this sort of thing today and it is absolutely the kind of thing where you get a CPA or certified financial planner involved!

Though many investors bend the rules and possibly don't get caught, you have the financial situation to do it correctly.

And as time goes by, rents will increase and your income will look better and better.My first investment in 2004 made $35 more than the mortgage.