It is very difficult to bring rents up to the market rate when you can increase rents only 3% and it is very disturbing to know that inflation is always higher than the 3% rent increase cap. 

Think about inflation too! 

Also HOA is actually would rise following inflation because they follow labour cost.In Waikiki Hawaii same setup but different built year of complex could have $400 to $2,000 HOA fee ranges, all depends on what service they offer.

To achieve this, you need a passive income that meets three requirements:Rents must outpace inflation: If rents do not outpace inflation, no matter how many properties you own, you cannot achieve financial freedom due to inflation continuously eroding purchasing power.Income persistence: Financial freedom requires that your income lasts throughout your life.Income dependability: The rental income must continue, even in bad economic times.The city you invest in determines whether rents outpace inflation and how long the income will last (income persistence).

To achieve this, you need a passive income that meets three requirements:Rents must outpace inflation: If rents do not outpace inflation, no matter how many properties you own, you cannot achieve financial freedom due to inflation continuously eroding purchasing power.Income persistence: Financial freedom requires that your income lasts throughout your life.Income dependability: The rental income must continue, even in bad economic times.The city you invest in determines whether rents outpace inflation and how long the income will last (income persistence).

Inflation continually erodes the purchasing power of a fixed amount of money.

But, if you keep talking about single family crap then you are talking about being an average investor who will struggle for 30+ years to collect rents, earn a little from appreciation and hardly keep up with inflation. 

You’re outpacing inflation and getting some positive cash flow (not always doable in a high appreciation market).

https://time.com/vault/issue/1...Rising Housing cost, shortages of buildable land. environmental concerns, short supply of existing homes, inflation of building materials and labor...

Maybe they bring a 10x10 inflatable swim platform for a week.