The downside scenario is deliberately simple
Rent falls 10%, vacancy rises five percentage points, the financing rate rises 0.75 points, and maintenance and capital reserves each rise two points. It is a consistent screen, not a forecast of the next recession.
Look for margin, not just survival
A property that barely remains above zero has little room for a major repair, longer turnover or an insurance increase. Compare downside cash flow with your own emergency reserve and risk tolerance.
Change the assumptions that matter locally
Remote investors should pay particular attention to management, leasing and turnover costs. Replace every percentage with quotes and evidence from the exact market and property type.