Not crazy low, but more compressed than I would have hoped for. 

Everything is compressed into a short time period and it needs to be perfect. 

For example, if you are making 250k with a very low risk (single digit bustout risk) portfolio, does it make sense to increase that 250k to 350k with compressed margins and more exposure to a downturn?

In markets that are flooded with buy and hold investors then rent compression is a very real possibility. 

What I've been seeing and hearing, a lot of the funds that are backing rental loans are moving cash into loan types that seem "safer" to them as the difference in those rates and  DSCR rates have compressed.

The upside for you will be in the delta you can compress related to vacant lots, market rents, utility metering and recapture, and shaving expenses where they make sense (again, just to name a few main areas). 

If the tech sector gets hit, it will directly cause Seattle home prices to dip.4) Watch cap rates compress.5) Real estate will keep going up due to low interest rates.

Cap rates are very compressed.  

You will get as many UNC & Duke Residents & Fellows to apply in Durham for a July 1st occupancy as you will tech & pharma employees.Price Compression: 2020 the rental sweet spot in the Triangle was between $1200-$1600.

But condos here are tough to cash flow at least at optimal rental cap rates from my experience due to relatively higher HOA dues and property taxes and the fact that rents are compressed due to a boom in new apartment buildings.