@Jeff Copeland, thank you for the in depth explanation, makes perfect sense and now I know the importance of the cap rate. 

Your explanation was extremely helpful.  

Your example is a perfect explanation, just because cashflow doubles doesn't mean the cash on cash doubles. 

Thank you everyone for the great advice and explanations!

I’d like to submit a clean analysis to lenders without having the extra explanation of adding rehab to purchase cost on the analysis.

If you make an offer, either verbally or in writing (preferably in writing), and add an explanation of seller benefits, and the seller's not interested, your time is better spent finding another investment opportunity.  

My research so far suggests there aren't very many (if any) viable districts (geographically between let's say Cinnaminson, Mount Laurel, Blackwood, and Collingswood)

It makes no sense that he suddenly ups to bill and cannot give a valuable explanation.

This forum is just people, it is not a living breathing thing on its own who has some specific or even general viewpoint.To say "GREAT, GREAT majority" is just conjecture and not based on any population data or even a logical explanation.

That's a pretty clear explanation.