True, but those twelve comprise a large portion of the country (mainly since they include Texas and California). Honestly, in most states your greater risk is

True, but those twelve comprise a large portion of the country (mainly since they include Texas and California). Honestly, in most states your greater risk is likely that a renter just stops paying and you have limited or slow recourse options. But like most undiversified investments, it's possible everything could go to zero (see Detroit).