These areas are currently great LTR and MTR areas!

I'm further north in the Wilkes-Barre/Scranton area but here are a few general thoughts:1.

There are a lot of idiots out there overpaying for deals right now...well...that always seems to be the case.

While competition hadn't changed dramatically, we noticed some of the competition had pushed up rents on other 3 and 4 BRs in the area.  

Conversely, a new built A class SFR, in A class market of significant growth via a well laid out planned city development, great schools, area people are glamouring to move to, a-class tenants, very very low risk.

I think this discussion becomes a lot more nuanced on single family homes because they typically are situationlly turned into rentals like yours in nicer areas.

From my perspective, they are operating in a dangerous gray area. 

What's the condition, what's rent potential, is it in appreciating or depreciating area? 

There are a bunch of different figures associated with this decision, such as new interest rate, old interest rate, cash flow of new property etc, but I'm having a hard time getting my mind around how to analyze the decision mathematically.  

Good listings are a people game, not anything you have at the bottom of your post.