The fair thing to do would be to first give him the opportunity to start paying rent and remain in place - and I will do that, as long as he meets my tenant criteria following a -$1000/mo blow to his income.

One reason I love this asset class is the opportunity for forced appreciation through building income and/or lowering operating expenses.One factor out of an investor's hands - it seems - is the market cap rate, which will ultimately decide the asset's value at sale.My question is: how volatile are are these cap rates?

My why:I asked because We fear liability for that negatively leveraged land under utilized equity asset not to mention the opportunity costs are losing for us.  

The mechanisms, documentations, effects, and opportunities are the same for SF, MF commercial, raw land - any kind of real estate. 

Recently, I had the opportunity to step in and finish up a rehab that was long overdue.

Each of the 4 areas you have outlined have potential opportunity given the right deal.  

The REIA here in town has changed somewhat in the last few years, but there's still networking opportunities there and there's a BP meetup here in town the fourth Thursday of each month, I think.  

A place for opportunities with high rent returns for relatively low purchase investments.This question assumes you have good enough credit, debt/income ratio, income, etc that getting the loan will not be an issue.  

I see where there are opportunity costs as I sit and wait.

There is a 1,900 Sqft. house on the property that is in great condition for a flip, but its hard to decide whether the deal should be analyzed as a residential flip or commercial property opportunity.