The downside to that is, they don't tend to fluctuate upwards, either, but even if you get a in a market that does fluctuate more, property values don't matter unless you're trying to buy or sell.

One of the big downsides is very limited equity in the property so it'll be longer before you can purchase that second investment property.

But we have a previous relationship, so we both know what to expect.This is the downside to long distance investing.

Downside is that there are a few unknowns.

The downside is it takes a lot of training and experience to know how to use it and it's expensive. 

The downside is often the areas that qualify, rents generated, and quality of tenants.

What are the downsides to this?

Just wondering if there is a downside that I may be missing from others experience.

If the "lender" needs for the upside to materialize to be paid instead of strictly pulling down an interest payment with a secured loan for downside protection then that smacks more like a security issue to me.Note that the poster that commented about 3 people, etc. is incorrect.

The one down side to it is if I do an outright sale I can take the income and do a down payment for both a primary residence and an invest property of some sorts(Rehab, Buy & hold).