@Hayden Wright higher cap rate is not always better, capture initial equity through value-add, reserves should be substantial and you will likely use them, if you buy off of a long-time owner be sure to budget for insurance and property taxes to be a lot more than they’ve been paying, buy in an area where rents and property values are going up (good market fundamentals like lots of jobs in diverse fields, affordability (wages can pay the rent), population growth, good schools, low crime etc.).

When you reference top 1% of wage earners is that pure wage/commission/paid for services/flips etc.

Jobs and wages are regional as is the cost of housing . 

However, you now have wages to report as income.If there is no wages and the PM company is set up as a C-corp, you now have corporate income tax responsibilities.

A lot of people are working for pretty low wages and are gaining voice; along comes a whole political agenda promising 'free stuff' and 'stick it to the man', activists jump aboard and here we are.

The tenant base is largely blue collar and/or low wage earning individuals.

Often you have wage hikes or inflation, or hyper inflation, or booming economies or depressed economies, or higher unemployment rates, and the list goes on.Wall Street and the large banking institutions had a huge impact/role in the 2002-2007 housing boom and in that same time, interest rates went up.

It's not usually the most fun activity to spend a Saturday on but when I can assign a handsome value to my own time over 4X my W2 wages and still come out ahead of shop charges it's very much worth it.  

. $8 above minimum wage right now sounds great, but it ain't sh* in the long run.

However, what this really did was effectively taken out the locals from buying anything because their wages were not able to afford the high prices then.