FYI - There is no such thing as a cap rate for under 5 units.

If someone reads this and I’m incorrect about there being a cap on how much they can raise the assessment in a year let me know please.

As far as making offers on a multifamily (aka for-rent) property, it's usually based off of a cap rate and what cap rate buyers are comfortable paying in that particular market. 

And I know you were just giving an example, but wouldn't a Class A cap rate stay the same or get lower in year 5? 

That and the Maryland Courts recently eliminated a cap to landlord liability in lead based paint cases.

Regarding the late fees - some states will set a cap for the maximum late fee allowed.

MANY people do not understand that.I am currently looking at a place that has a CAP rate of only about 10%, and am coming up with about a 25% (5K) return on my investment (meaning 20K down on a 100K property) AFTER taxes and if I add anticipated appreciation in (never plan on it, but think of it as 'icing on the cake') it is more like a 40% return.

When the appropriate time comes we will hire a capable book keeper who will work a few hours a week to free up our time.

I've heard that 10% cap rate is good for apartments, but in an area like Flint, the a good investment would probably have a cap rate much higher.

I generally shoot for a cap rate in my town in the low 20s but I also know that I am investing purely for cash flow.