They are making sure they have strong, consistent cash flow today, and with modest rent increases over time, will be able to outpace inflation. 

Come up with a number of $/unit/year and use that + 5% (inflation).If you don't have books, then it really tough since a property may be old/new, high turnover, existing poor design, etc.

Price are pretty inflated right now so you're probably seeing things correctly, I think most of us are heavily waiting on the market downturn to produce better deals in the near future.

And that's not including principal pay down, inflation, and the tax benefits. 

In Toronto the rental market has been inflated for years but now has calm down and rates are declining.. thus adding more risk for an investor and in your case potentially higher debt with lower rental rates and even occupancy.. $250k equity in 5 years is one heck of a debt to have on one property with one tenant..

Some reasons why so many people are flocking to invest in this cosmopolitan community would be:- Low inflation- One of the safest cities in Ohio- Low cost of living- Growing metropolitanToledo Investment Properties provide investors with a unique comprehensive platform that makes Toledo a logical place to invest in.

I do understand that due to inflation if I kept the loan for 30 years I would pay back less.

Interest rates have gotten even lower which of course incentivizes buying AND discourages selling to an extentDont see this problem going away anytime.On the plus side if you can find a deal you will probably benefit from the massive inflation that is coming (whether the govt says it's happening or not) although it's a bonus, still buy on the fundamentals Robert Webb 

I hate letting money sit around becoming less valuable due to inflation.

That's not even keeping up with inflation unless you mean that it appraised at 119 when you bought it.