You stated it may be in a c to d neighborhood so perhaps a reduction may be the route to cut your losses.Someone mentioned incentivizing the tenant.

Some lenders are using the higher rates to their advantage by tying longer prepayment penalties to rate reductions and that does help for borrowers that are long term hold investors.

Once I refi'd, my payment now included PITI so the reduction in interest was offset by the inclusion of principal, taxes, and insurance. 

This is a common strategy that many of our investors follow is to grow equity in a property through appreciation & debt reduction over time, and then usually within a few years you can either sell the asset to reinvest via a 1031 exchange, or access the equity to use as a downpayment on more rentals. 

(I’m personally seeing many properties on the market for months, as well as price reduction)Rent and Vacancies – Based on recent listing I have seen online, it seems as if rents are dropping.

Additionally, I would suggest that you add a clause that allows you to sub-meter their unit during the lease with a reduction of X annually off the rent so they cant beat you up on water/sewer bills.

So we sent the seller a PICRA (Property Inspection Contingency Removal Addendum) asking for them to fix some of the issues, in particularly the damage in the crawl space causing the structural issues. we also asked for a price reduction because of all the things found in the inspection. sellers agreed  to fixing the damage but not the reduce in price, so we counter-offered with a different price.

The days of a REIA are numbered, sadly though, people think they are the key to the guru who has the magic Blue or Red pill to ail their thirst for real estate knowledge.

So, if interest rates are a buyer’s primary reason for staying on the sideline, my recommendation is to focus on opportunities to negotiate a reduced interest rate from a seller or take a look at new construction, where builders are offering rate reductions and other substantial incentives.What if I’m a seller?

Once you move out of owning, your future gains from principal reduction, tax benefits and possible appreciation stops instantly.2.