I purposefully designed my fees to decrease (much faster than most other planners) as you have more assets.

Theoretically, could I decrease the replacement value of $630k if I ripped out all the plaster and replaced it with drywall before getting the insurance. 

You need much lower prices to decrease the inventory and return to a balanced market.

This will lead to buying at a discount.This down turn that is turning away homeowners in droves and forcing prospective buyers to wait it only increases the need for rentals.The only problem is if this turns into an all out depression to rents decrease?

I want to decrease leverage as I age and increase passive income.Regarding point 3...it really depends.

In response, I would say that if rates were at say 6-8 percent, the principal value of the house would decrease significantly.

If you buy the property cheaply enough, your cost of borrowing decreases, so maybe you should be looking at distressed multi-family properties instead of what's on the MLS and paying market value.

You either pay now or pay later- and honestly I go against the norm and would rather pay now - how often do you see taxes Decrease for those making good money.

It seems if all costs associated with closing this deal were 4K, then we would save $1,200 up front, but our cash flow would decrease by approximately $20 a month.  

Raleigh only saw a 15-20% decrease (average) some worse, some better during the recession.