Also NJ is an appreciating market (although I have lost value on the house belief is that over long time it will rebound).

My conclusion; these funds will only be successful by rebounds in owner housing and quick (within 5 year) sales of entire portfolios.Essentially, we did not do the deals because they did not fit the metrics of a reasonable dividend model based upon rental rates (which I believe is the conclusion you are coming to).

even that was brutal for a few years then rebounded.

Even after the 2008 crash, prices rebounded very quickly and look where we are today. 

This is a rebound market.

Also, when you look at rent-o-meter pro reports you will see there was a rent drop as COVID ended and it rebounded a few months later so I think that it's soft and mostly flat with a few high-rent areas dropping.

Using RentPrep I have been able to screen for people on the rebound who have made timely payments over the last year and feel better about it. 

It's an affordable area that seems to be rebounding (walking distance to Yale Hospital) as many out-of-state investors are buying there and a large project (194 apartments) has just been approved.

Parma is a pretty solid neighborhood but the prices of homes have really rebounded since the recession.

Most of the areas are still rough areas on the rebound, but not quite there yet, but those can be great rentals (if managed properly).