The lost profits in one year of adding value and/or generating cash flow (plus principal reduction) can offset a substantial decline in value. 

However,  the stability and risk reduction as a newbie wasn't all bad. 

Price:                                                            $410,000 Average Rent per Unit:                              $459 Gross Operating Income (5% vacancy): $57,513 Estimated expenses:                                 $28,429 Net Operating Income:                             $29,084 Current CAP:                                               7.1%Loan Payments (5.41% interest, 25-yr am, 75% LTV): ($22,462)Pre-Tax Cash Flow:                                     $6,503         (= 6.3% cash-on-cash)Post-tax Return incl. principal reduction: $10,941    (=10.7%)ExpensesProperty taxes              $8,251 Insurance                       $2,500 Gas and electric            $3,240 Rubbish/water/sewer  $4,068 Management (8%)        $4,843 Maint.

Just because there are not bidding wars and more price reductions does not mean the market is going down towards being buyer friendly. 

If political power shifts in 2020, reduction in military spending is guaranteed - doesn't mean base closure but there is risk.

It is a hard pill to swallow that you will be hungry sometimes, you will be tired sometimes, you will live in discomfort, you will struggle and you will achieve only in adversity. 

., a reduction in property taxes.Should private citizens who own apartment buildings, be held responsible for paying for housing subsidies?

If we take out $500 for principal reduction that’s $1,500/mo or $18,000/yr I am paying for this “great” investment w/o including maintenance, upgrades, any home projects.

@Miriam De HaroThis situation sucks and $1250 is a hard pill to swallow, however I do not see eye to eye with you on how to resolve this.

Because of modern water management and reduction of agricultural use Phoenix uses the same amount of water today as it did in the 1950s when the population was 1/10 of what it is today.I’d be more concerned about the heat.