Other factors such as the quality of the tenant, and location will also determine the value you can get.

Then, having covered my base, I'd try to differentiate myself, by having the best located property, the best quality property (given the price of course) and offer the best experience.

A lot of people will pay $1200/nt for 4 crappy budget motel 6 quality rooms at the All-Star resort rather than $175/nt for an 8br themed out mansion with a private pool, theater, and $30,000 arcade room.To answer your original question on investing over a long-term period, that is really this market's main strength. 

@Mike TikhRecommend 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 Class A property in Class D area, what quality of tenant will you get?

For someone that's not as conservative, or a different view on the cycle, they might have a different opinion than me on all of this.2) Sponsor quality check: (takes about 45 minutes per deal)I believe that a great sponsor can take an average looking deal and make it great, and that in mediocre sponsor can take a fantastic looking deal and make it bad (especially if there is a severe recession).

This modern home is part of Griffin Modern's mission to create affordable, high-quality residences within walking distance of downtown Griffin.

I think the business has pretty thin profit margins and they tend to take on too many units, which results in the quality going down.

However The barrier to entry in the REI teaching business is very low and a lot of bad players join the game.What you describe led me to come up with Ned's Rule of Gurus.The quality of an REI course is inversely proportional to the price

A quality deal you have control (under contract, seller only wants to work with you, etc.)3.) 

Connect with a quality broker in your area that can shop the various companies for you and find you the best deal without compromising coverage.