Cities losing population usually don’t.The rent growth vs. inflation chart below illustrates the problem.

An example will illustrate the process.Suppose you are considering a property for flipping.

Opendoor’s experience actually illustrates both sides of that point: AI can materially improve market understanding, but it still has limits, particularly around precision and rapid market shifts.So I see Opendoor less as the “subject” of the post and more as an example of how powerful these tools can be when used well—and why judgment and context still matter alongside the models.

I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).

. $245 per square footRental & ownership perspective:This type of property could work for:An owner-occupant living in one unit and renting the otherFriends or family members purchasing togetherOr a buyer holding both units as a long-term rentalAccording to HUD Fair Market Rents, a 3-bedroom apartment in Exeter in 2024 rents for roughly $2,500/month (actual rents may vary).Financing assumptions (illustrative only):Conventional loan with 5% down (~$42,500)Estimated closing costs of 2–3%, bringing total cash needed to roughly $65,000Exeter (like other towns in the SAU16 district) has higher-than-average property taxes compared to the stateWith 2024 interest rates in the high-6% to low-7% range, estimated monthly payment (principal, interest, taxes, insurance) would be around $7,400.Who this type of property may fit best:🏠 An owner-occupant looking to offset housing costs🤝 Friends or family co-buying to access a high-quality Exeter property📈 A long-term investor prioritizing appreciation and stability over short-term cash flowCurious to hear others’ thoughts 👇Is mid-$800k’s what you’d expect for a 2-family in Exeter today?

Present the Facts – Show the rental market data and ownership costs to illustrate the financial reality landlords face.

That's a good outcome and an excellent illustration of cost seg operating as it should.

I found it helpful to look at markets across multiple tradeoffs instead of treating any single metric as decisive.As a simple illustration, consider two geographically close Midwest markets — Cincinnati and Columbus — not to declare a winner, but to show how different lenses highlight different strengths.Common heuristics investors tend to reference:Cincinnati: lower median home price, lower typical rent, often meets the 1% rule, moderate historical appreciation.Columbus: higher median home price, higher typical rent, rarely meets the 1% rule, stronger historical appreciation.These signals are useful for understanding entry price and basic cash-flow potential.Signals that surface broader tradeoffs:Cincinnati: higher rent-to-income pressure, more concentrated employment base, slower liquidity (days on market and inventory), lower structural friction.Columbus: more resilient rent-to-income, more diversified employment base, faster liquidity, moderate structural friction.This second view doesn’t predict outcomes or replace deal analysis — it helps explain why similar-looking markets behave differently under stress, growth, or different strategies.All of this is relative, not absolute, and weighting depends entirely on goals (cash flow, appreciation, balance, risk tolerance).

Here’s a real example from Orange County to illustrate what I’m seeing: Duplex in OC Purchase price: $1,250,0005% down: $62,500Loan: ~$1,187,500Rate (owner-occupied): ~6.75%  Monthly costs Principal & Interest: ~$7,700Property tax (1.1%): **$1,150**Insurance: ~$200Maintenance reserve: ~$500  Total monthly cost: ~$9,550 Market rents Other unit rents for: ~$3,500–$3,800  My net out-of-pocket:~$5,700–$6,000/month For comparison: Renting a room or modest apartment in the same area: ~$2,500–$3,000/month  So even while house hacking, my monthly cash outlay is roughly 2x what renting costs, before vacancy or capital expenditures.

Not much in terms of online reviews as far as I can tellI invested in a lot in Colombia a few years ago and have yet to see a payout as illustrated in their initial pro forma on my $30K investment.