NEVER EVER again..

Has anyone ever had a similar issue to this?

I don't really want to invest in a D-class area.Tangentially, what are some of your "it's time to sell this property" red lines when it comes to the changing economic conditions of an area? 

Once we changed to charging a fee, proof of ability to close, good income, a sizable reserve and reasonable credit, the students not only started taking the training seriously but actually began buying properties for their retirement.

Part of the investment thesis was getting it for a bargain, then building an ADU complex on it as affordably as possible, getting it to cash flow, and realizing value on both the rental income but also property appreciation given the work going into it.If the property will really only be worth ~$1.70M once we are finished, I will likely just stop the project now and exit the house as soon as possible.If you do not get dollar for dollar for projects such as this, how would house flipping ever work?

Guess how many I ever saw a penny on?

Good luck trying to replicate that across multiple markets.If a market is working for you and aligns with your goals, why change it up?

These type living arrangements are primarily short term until user circumstances change

Demand is very high, both for rentals as well as for sale and this is probably not going to change.

When I ran the numbers I always considerer a macro change with Euribor increasing to 5%.