However, a full or partial gift means you inherit their $33K cost basis, potentially increasing your capital gains taxes when you sell in the future.

However, some amenities consistently deliver high value because they attract more bookings, increase nightly rates, or result in better guest reviews.

Target areas with high rental demand, job growth, and population increases to ensure strong occupancy and appreciation.

The home in mn over 20 yrs averaged 2.8% increase per year.

Long term interest rates should continue to increase.  

Anywhere that one can buy properties for under $100k is very unlikely to have the rent increases that you will need over time to create positive cashflow, or the price appreciation that you will need to make this a profitable endeavor.

The deduction is optimized as values increase and can potentially offset the entire net investment (including down payment) for high wage earners.

.- Over a 10 year period cashflow will increase as rents increase (rents typically rise faster than property taxes, insurance, etc.)- The property should be appreciating, if purchased in a good location, increasing the owner's equity/wealth.- Rents will be paying the mortgage off, increasing the owner's equity/wealth.- If you hold a rental until death, you can pass it on with a stepped-up cost basis, limiting captial gains if then sold (limited by inheritance tax limitations).Too many newbies on this site trying to replace their day job income via "passive" real estate investing w/o digging deep enough to understand how it really works.

How do SFHs fare in competition with these rentals as supply increases?

With the increase in prices and competition over the last few years, these figures were so divorced from reality that these people now typically advertise 8% to 10% at the most, which, unsurprisingly, is still higher than reality.