I'm biased because I was raised and work here, but we have some of the best prices in the country, and we are planning on seeing an increase in rental demand, an increase in rental prices, and a decrease in properties that work for rentals, in the next 1-2 years.

My question is, does my basis for the following tax year decrease by the deduction amount I took in the previous year? 

This is a small town in Pennsylvania, 3 hours away from NYC and 2 hours away from Philadelphia, approx. 25,000 residents, the has population has decreased at -0.289% annually.

When lending tightens, it gives a reason for real estate values to decrease. 

But the 30 year mortgage rate that google is showing me is about 3.5%, which is actually more than the expected return from the property, and so leverage would actually decrease your returns.My estimate of closing and selling costs is too high.

@Justin Badillo I love this question because its something I have been wrestling with lately in my business.As some background, I own 50 rental units with a partner and have 14 more closing in the next 45 days.We are currently running 4 flips, have a real estate team of 25 agents and run a free wholesaling mastermind with 300 members.As the market sbifted towards a sellers market 7-8 years ago.. more and more we have found that inventory is decreasing, agents are increasing and a seller has more options to sell their property as buyers also increase.This all adds up to the game of wholesaling becoming more work.

If you fairly price the home or room and the nurse or other professional is able to keep part of their stipend it is advantageous for them to want to stay and collect more money for themselves while also decreasing your vacancy rate.  

hey Spencer can you send me a report of how much multi family property value  decreased in Indianapolis in the last 2-3 down turns? 

What a lot of landlords do is offer a slight decrease in rent (say $10-20/mo) if they choose to sign a fixed term lease. 

If enough Renters leave a city center during a pandemic for beaches and farms and rural areas, Investors will eventually decrease capital investment in cities and find new short term rental opportunities in more rural areas (ahem, AirBNB and VRBO), for example.Homeowners might have it toughest.