Starting out and computed CoC ROI are negative to below 3%

[Mary Pastoral]

I am looking into starting to invest in single-family rentals. 

Planning on putting 20-25% down. 

What is a realistic CoC ROI given mortgage rates are above 7%?

[Nathan Gesner]

Quote from @Mary Pastoral:

If you listen to any of the BP podcasts, you'll hear the same thing over and over again: it is very, very difficult to find a property that cashflows in today's market. Purchase prices are really high, mortgage rates are high, and rent rates have not caught up. It may be years before we get back to numbers like we saw in 2018.

The solution? Invest in really good neighborhoods. When the market balances out, you'll be doing well. 

Real estate is a long game and we can't always invest like we did four years ago.