A lot of the deals I'm seeing in Los Angels area where the CAPs are low are price for the HNW individual to buy and hunker down and earn something above CD's while they execute on a preservation of capital plan.As real estate investors though we just need to continue to search for and find deals that put money in our pockets at a risk/reward return that is appropriate for the market and our individual circumstances. 

It is maddening that you are rewarding them for their defiant behavior, but the bottom line is this should just be a business decision for you.

In most cases unless you are getting that the risk/reward is not worth it. 

There is nothing rewarding about what I do.

Its more important than rate because while the 2.15% or 3.30% doesnt sound like much its very easily avoidable to structure the loan to absorb these costs with out adding them to the loan amount (financed) if you know what you're doing.Its a balance between risk and reward but if we know the game plan its easy to greatly reduce risk while upshoring lots of upside, especially for your VA loan.Anyone can get a VA loan done but the difference is getting it done with the most efficiency so that you can supercharge your finances. 

Never say never, just balance risk, reward, and your solve for the problem at hand.

Yes I charge myself very high labor costs and reward myself with free food from Wendy's, Chili's and sometimes Texas Roadhouse if I'm lucky.

Anyway, I don't think you'll want to be a lender when you find out all the barriers to entry in this arena.You'd probably be better off getting with brokers like Marc, Loc and Will, get into purchasing existing notes if you really want higher yields, but it doesn't really matter what you invest in, there will always be a risk and reward aspect, nothing is easy.

I determine the amount of reward I expect from the risk.-- Now, I can determine the value of the property based upon what I plan to do and not what others are doing to other properties.This is certainly not the only method, nor will it work for everyone.

I've been in a very rewarding partnership with an elephant (lots money, slow to react, and preferring to remain in the background) for four years now.