It’s interesting to hear how you’ve adjusted your portfolio, especially selling off STRs after the market shift and reinvesting in more long-term opportunities. market changes so fast nowadays. 

But all markets adjust over time.  

Why wasn't it city certified to being with seeing as you'd only owned it for a year or so? 

If it's not adjusted correctly there won't be enough water to flush everything down. 

MAYBE they adjust that up or down 10% depending on outside factors but they’re not checking the assessed value. 

As a thought exercise, if I were to sell and take my $45K of equity and put it in an index fund earning inflation-adjusted 7% return, it would take 16 years for that to turn back into my original $130K.

.- Interest Rate Adjustments: Interest rate cuts may not happen as quickly or as significantly as expected.

On a Fannie Mae loan, your scenario has a major Loan Level Price Adjustment (LLPA) of 4.125% for a second home with a loan to value of 85.1% to 90% plus a hit of .75% and another for .25%.

Including Water in Rent: Another option is to adjust the rent for each unit to include the cost of water.

My PM said she can't put a tenant in the vacant unit until it gets certified.