Matthew McNeil the recast will just keep pace with inflation.

In my eternal optimism, I'm hoping he was inflating that commission as leverage to use for negotiation with the buyer.

I feel that the market here is inflated and that has definitely swayed me away from investing here. 

Overall, I think your cost estimates and life span estimates are good, as your estimates probably will compensate for some inflation in prices over next 5-10 years.

In other words, they're worth $60k/ea, but you want to inflate the prices of the first two and buy the third one for a dollar?

A $100,000 invested in 1979 across those markets, when adjusted for inflation are worth 198k in Denver, 77k in Wichita, and 72k in Augusta.

He also said we could rent the basement of the property but due to local laws we are not allowed and he also inflated the cashflow to $2,000$ a month (based on basement rental included).

The government is artificially inflating the cost of homes in an already inflated market.

Property transfers are slowing down, home flips are inflating figures at unjustifiable amounts, and quite frankly, Phoenix is a place where when a recession hits, companies start cutting jobs in backoffice functions first, many that reside here in town. 

Too many Wholesalers over-inflate the ARV and underestimate the repairs, to make the property appear to be a great deal.