If inflation falls off a cliff (unlikely) and we average 3% per year for the next 30 years, you technically make money on the mortgage.

Over time, the house increases in value (due to inflation and/or demand) and the tenant pays down the mortgage balance.  

If you had to buy some properties in a short time frame and not every one of them was going to be a great deal (let's say you were convinced RE was the best inflation hedge and wanted to park "x" amount of cash), would you rather spend too much on Residential/MF or Commercial NNN properties?

However, the inflation, rising interest rate, and expected recession are confusing me about investment strategies and decisions.

I would never consider buying the house for $1.5 (think everything is overinflated) if we weren't going to buy it using an inflated asset (condo).  

With inflation where it is and the Fed's attempt to fight it, a recession in the near future (next year or so) is likely.

I've found that the return on buying down your rate typically begins at year four or five, not adjusted for inflation.  

. - I'd say in general construction materials have risen with inflation and will unlikely come back down. 

Lower expenses and hedging inflation with fixed rate debt. 

With rising interest rates and inflation, a changing market, and different dynamics in our investing world, what are some of your own personal ideas in regard to investing in today's market?