Then, post WWII the changes in lending environment brought prices up to a new baseline until the changes in lending practices in the early 2000's kicked off the recent bubble.

Just recently, we've been lowering the target a little bit to around $25k to account for the more competitive environment.

I've installed it before and I think it looks really great.One note - it does not perform well in environments with a lot of moisture.

What do you think would be the best path forward in the current environment?

I ran these numbers on my last deal and it came in the ballpark of eating 5% in the year of reset and thats with a stable interest rate environment.

It all depends on the operator, the project and current rate environment and what the investors are getting from banks etc. could be as much as 10-12 if rates were higher. 

Far better than anything else out there.But thats assuming that you are buying at a traditional discount that most investors look for (i.e. 70 to 75% LTV), and that the house cash flows from Day 1 $200 a month or more.And I would guess that environment exists in about 70% of the areas out there.

I grew up in a country and culture where you can trust almost everyone.My upbringing strongly emphasized ethics, kindness and generosity as the most important personal attributes.American culture seems to support notions that greed is good and its like a competition of who can claw their way to them top at the peril of others.I have tried to adapt but I have no intention to stay in this sterile, cold and dangerous environment long term. 

-Vacancies: I work hard to create an environment that people enjoy living in so I have very little vacancies.

In my experience lenders hardly ever notice and wont push the issue until interest rates start going up...people will sell subject to so that the buyer can stay with a low fixed rate  when the rate environment is higher.