During your analysis did you include a percentage amount for vacancy, maintenance, and cap x?

I would definitely go with a utility cap. 

Originally posted by @Tushar Prasad:@Engelo Rumora How is cash only deal better than leveraged deal - is it because you sell very cheap houses with very high cap rates, which makes the opportunity cost associated with the cash downpayment to be irrelevant, and also makes the cash-on-cash roi for the cash only deal to be higher than a leveraged deal? 

One of these restrictions is a cap on how much income we can require (max 2 or 2.5 times rent depending on the rental rate).

Looks like the first deal I’m analyzing is a bit complex on the tier structure, so I’ll have to carefully review the cap stack and waterfall.  

The price is much more expensive than Midwest, but the yield or cap rate, particularly commercial properties, are similar to Midwest.SFR may have a lower cap, in good area.

Cap rates vary from 5% to 10% usually.

Virtually any cap ex expense will wipe out more than a years returns. 

Yup we banged all of ours out in an hour or so..

For many of us, our cost structure would be higher than yours (vacancy, turnover, maintenance, cap ex) over the long term.