If rent growth is forecast to be 1% in a 10 cap market but 5% in a 6 cap market, from which deal will you collect more total cash during the lifecycle of the deal?

A pizza hut parent corporate backed has over 10,000 locations etc.Just for everyone's information with triple net restaurants have the shortest survival life cycle out of all the asset types.

Newbie here...so what's the life cycle of a house that goes to into Foreclosure?

And if that's the case then DSTs, TICs, NNN commercial, and  managed residential  (in order from most to least passive roughly) are the only options.In general what you're describing is exactly the path that most of our clients take as they go through their investor life cycle.

if all your looking for is the quick numbers for evaluation the general rule of consensus is that 50% of rents will be going to capex and repairs.When you get into the detailed evaluation you can list everything out, figure out where it is in the lifecycle (for example hot water heater is 5 years old and will need to be replaced in 3 years) and use those numbers to figure out a very detailed capex and repair schedule.  

You could invest passively in $50K each in 5 different markets and different Operators and diversify among markets and mitigate your risk and still take the benefit of depreciation and scalability etc.Now it is up-to you what your goals are and where you are in the life cycle and your risk factor.

So, even if the property performs 10% better, the returns on the waterfall can change significantly more or less, depending on what side of the deal you are on.IRR typically looks at the complete lifecycle of a deal which is why it is called Internal Rate of Return. 

Its a very normal practice Back to valuation ..below is something we are using for our valuations (5 yrs and 10 yrs life cycle) ..PM you if you needed anything else and happy to go over with you.  

@Tim Herman the roof is newer I neglected to mention, but thanks for the input on life cycles for the appliances and flooring! 

My goals as I look at analyzing would be what’s the least amount of money I can be in debt, while cash flowing the most until I replace my income, after I replace my income, my strategy will change.When looking into the life cycle of real estate, if it makes the same as stock market, you may be better off if structured right because of the tax advantages, equity, cash flow after pay off etc.TL;DR= in my opinion cash flow is more important than COC, and it is possible to have an infinite return.