Are you in the city or in a suburb, for example?

Tenants in many markets already believe they pay too much (contrary to recent studies that show rent to property values have never been lower for the large US cities).If my insurance costs are not double my current rates over the next couple years, I will be pleasantly surprised.  

The City of Detroit is block-by-block in many Class B & C areas.In our opinion, zip codes cover too large an area.We use Detroit Neighborhoods, which are much smaller than zip codes.

We haven't even discussed carriers raising their rates due to their reinsurance carriers increasing their rates, your building locations (CA, FL, NY, coastal counties/cities, etc.), how litigious is your state, your own loss history/ratio as an individual investor, the carrier's overall loss ratio in a certain state/area, the deductibles you've elected, etc. 

Verifying last 2 years of rental history and income extremely important to find the “best of the worst”.Make sure you understand the Class of properties you are looking at and the corresponding results to expect.The City of Detroit has 183 Neighborhoods we’ve analyzed.DM us if you’d like to discuss this logical approach in greater detail!

THEN, during the phase where a SFH investment went bad, there is the stress of hearing about, and PERSONALLY dealing with a stressing about it. ie. tenant stops paying rent, political problems in the city causing massive differences in fundamentals, tornado hits your house, then you are IN THE THICK OF IT for a few months, dealing with the fact that this investment you already put 10-12 hours into, probably will take another 10-12 hours of your own stress as the $50K loss materialized.

We invest in every property type, in cities across the country, with different syndicators or private partners.

Plus you can claim depreciation on any portion of the real estate that has debt on it and the gains (if you are in the right city) far outweigh the UBIT/UDFI costs.

Florida also have many more high end places than Oklahoma (we are much more of a blue collar city in my experience). 

Verifying last 2 years of rental history and income extremely important to find the “best of the worst”.Make sure you understand the Class of properties you are looking at and the corresponding results to expect.The City of Detroit has 183 Neighborhoods we’ve analyzed.DM us if you’d like to discuss this logical approach in greater detail!