If an area or state or even the US population continues to grow, well people need places to live and vacation, so to the extent that there is good demographics in an area and the sustainability of the income of the area, this will help dictate values and growth, or stability or decline.

The market can dictate whether you want to buy/hold right now if the trend is going in your direction, or if  the trend is moving toward flipping.

The note will dictate how funds are applied.

Quite the opposite, that is why it is so important to know what your market place will dictate what you will, have to and can do either by city/state code, or by what an appraiser says changing windows in your area does to the value (is it an expected change that most renters and home buyers expect). 

We are extraordinarily grateful for the opportunity, even more so for those of us who have had others dictate our pay rate.

Once the property comes into the city  Next 5 to 10 years.. it gets upzoned to resi and commercial.. value shoots from 50k an acre to over 650k an acre or 76,000,000  .. now of course depending on when this happens will dictate the return but we might have only 2 mil  in cash in it over  10 year period.. small group of mid 30s successful business guys here In Oregon who each took it in their roth.. so less than 10k a year so maybe invest 100k or so over the 10 year and get well in excess of 2 to 3 mil tax free.. 

Your market really dictates that, but in my opinion I would add a slight premium knowing they will only stay short term. 

@Robyn Joy I have no idea what California law dictates, but it is pretty common in a roommate situation that when one moves out, that the deposit stay with the landlord and the deposit situation be worked out amongst the roommates.  

The effective ROI on the $100,000 is actually just 7.5%.Although lenders may dictate the terms they are willing to lend, experienced investors like myself also must AGREE to their dictated terms.  

Even people whose circumstances would normally dictate a reduced sale price are asking and getting withing a few percentage points of what stuff is selling for on MLS.