They don't work because they usually inflate the arv $10-20K or they send me mls listings and add to that price aswell.  

FNMA's ridiculous prices may artificially inflate the market. 

James As you can see from your chart Gold price today still has WAY TOO much expected inflation built into it.Supply and demand can be distorted but not defeated.I think the equilibrium price for Gold is probably about $775-$825 But the artificial high price for the last few years has driven supply way above an equilibrium level.I would not be surprised to see gold drop way below the equilibrium price as a pendulum swing artificially low for a while.Look at oil prices production was held low by OPEC and our environmental policies forcing an artificially high price for years.

I view this as an inflation adjusted income stream. 5.

Mortgage at 4.5% = $608.02.But this time we'll make things really bad.Assume 10% vacancy every year.Assume only 1.0% increase due to inflation of the dollar, and 1.0% appreciation per year.I am also going to assume an expense ratio of 80%.  

Sellers think since they are financing the whole thing or close to it that  a buyer should accept an inflated price or crappy loan terms.Brandon Turner bought at a very different time in the multifamily cycle years and years ago on his financed deal.

That's my 3 cents worth adjusted for inflation.

But you also don't want to let that gap get too big or you could have trouble selling it or keeping up with inflation.

When the certificate is "redeemed" (paid back by the owner) there is interest and a bunch fees added to it.Very apparently.Thanks for the response.So it seems like once the tax bill receives that huge bump from the cert, then that tax bill remains inflated indefinitely?

He negotiated with the seller to pay him a 3% commission and just told them to inflate the purchase price to pay for it.