To illustrate my point, let's look at the last major crash in housing prices.

And read this post for a perspective on the issue: https://www.biggerpockets.com/forums/51/topics/1136752-expla...

Plan for risks to avoid issues.

a flip requires CASH for closing costs and points, a down payment, holding costs, costs to cover any overage you weren't able to borrow...so, the issue with flipping is that (1) it takes capital, and (2) the return is 6-12 months out.

We have worked with probably a dozen different contractors/roofers to resolve exterior water penetration issues and they have all been hit or miss.

While my tenants have been great, dealing with all the issues and repairs that have come up have been a real headache.

If you do a  search of this forum you will find that financing properties in CR is an issue, though the nature there and lifestyle is very attractive

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+, zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680, some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

is rental income the majority or the plurality? 

https://www.biggerpockets.com/forums/51-tax-legal-issues-con...