Should command 600-700 a month.

Why does that area command such a price all things considered?  

This development commands top dollar and is always in demand.

The US has a big problem right now of commanding large salaries for little and subpar work.

The home we're under contact on is just south of the University, near Farr Park.From my research, it seems like that area commands higher rents than other areas we were looking at (specifically the neighborhoods just west of the hospital).

That type of thing.....Yes, N/Ps hire others, they usually hire from the ranks of volunteers they know first.You might ask your commander about getting some folks in your unit as a "labor sponsor" or take a project as a unit contribution to the community.

As this grows, say over 100K, you can begin reducing the per centage, from 20% down, but I would never dip below 15%.Compare this too, as you said, in your debt/income ratio to command reasonably expected earnings to cover unforseen expectations.

But the are transactions made, prices for speciality homes may still command a premium and appreciate with demand.

If they are doing a good job throwing in management services post-sale I can see why they should (in theory) command some sort of premium.  

As a landlord, I have always found that fixing a place up nicely commands a higher rent and allows me a bigger pool of quality applicants to choose from.