So the added cashflow to property owners it they are willing to become the developer and increase density that tactic could help more owners stay than could otherwise afford to stay. 

Supply and Demand: When buyers outnumber sellers, prices and rents rise.Population Growth: Cities with significant and sustained population increases are more likely to see long-term rent growth.Job Stability and GrowthA property’s value is tied to the jobs in the area.

So is it equally illegal when the large landlords drop rental prices in a building as vacancy increases and the market softens?

I do not care what the source of the return is  Historically the highest return is via a value add and appreciation and is more so recently due to the recent rate increase versus earlier this century (before 2022).However, most new RE investors cannot handle extended periods of large negative cash flow.  

We were offering $300 off first month and just recently increased the incentive to 50% off first month.

The appraisal came in at 490000k arv and the comps pulled and increase in home value since a year ago shows the property at around 515000k.

(example - STR on the back end to increase cash flow)To me, forced apperception (BRRRR or buying at a discount) is a hedge against market corrections.

It has gotten increasingly frustrating to deal with inadequacies and complaints from my tenants as far as payment processing.

The allowable rent increase is not typically the big issue with rent control, the bigger issue is getting rid of poor tenants that pay their rent.

In this era of increased rates, obtaining properties that will produce a good return are harder to find and often involve quite a bit of work.