Then you find that the “statistics” are skewed by “survivor bias”, mergers of REITS, property transfers at artificial prices (seller finance at 0 interest, etc.) and a tendency to make unfavorable history “disappear”.  

The lower you go the higher rate spikes to while your main goal was to lower your down payment you've accumulated other problems (higher rate spiking up or other unfavorable terms) which causes your cashflow situation to get worst.

Mendy,We are sorry to hear about the unfavorable experience you had speaking with one of the reps at RTR.

.- Exit timing: If market values drop or rates are unfavorable when you want to refi, it could delay your payoff plan — build in a buffer.- Cross-collateral risk: Don’t overextend equity across too many properties without clear refinance timelines.Turnkey providers like ours can help source rental-ready properties in strong cash-flow markets (like the Midwest and Southeast), making it easier to hit your HELOC payback goals.You're thinking like a savvy investor — leverage with intention, always with an exit in mind. 

Thank you, @Drew Sygit.That is an important note about PM contracts.All parties should take their time to read the language carefully and understand the terms and consequences of the agreement, ensuring it is not unilaterally unfavorable.  

I am new to REI and using property management companies, but having looked at terms offered by 3 property managers, I see some of the following unfavorable terms:1. 

An attorney will help you properly structure your LLC, draft a strong operating agreement, ensure your syndication activities comply with SEC regulations, and review seller financing agreements to protect you from unfavorable terms.

You have the added benefit of being able to refi with no unfavorable tax impact the appreciated value to do more.

My thoughts regardless of the economy is that it is crucial to be able to sit tight with RE so you aren't ever forced to sell in an unfavorable climate.

I acquired a very unfavorable ARM to get me in the space.