The area has seen above inflation rates of appreciation for the last three years, and there is significantly more demand for housing than there is supply, leading some companies to create their own housing for their employees.

This is because the Schedule E is obtained independently, and few people would inflate their rental income in that form (and pay more taxes than they should).  

Local is inflated prices, high property taxes and sky high insurance.

Higher than inflation appreciation will occur where demand outstrips significantly supply. 

I would take 0 cash flow on an 8 of 10 appreciation for this century over a few hundred dollars cash flow per unit and appreciation for this century that is lower than the inflation rate.  

Recently the CFPB came out with an opinion on contract for deeds / land contracts etc and one of the issues discussed in them is the lack of appraisal and inflated valuations.

How true are public adjusters since they say or advertise they will inflate it to 80k but once you hire them ends up at not much money but their fees and associated business fees?

Examples are as follows:5-4-3-2-1 (Stepdown in %)Flat 55555 (5% for all 5 years or 3 years (5-5-5)6 months of interest pmts on 80% of the loan balance (hybrid penalty)your PPP choice directly impacts your rate and DSCR so be sure to weigh out these factors altogether. 

Look at the construction inflation rates over the past few years.

I also got these numbers from my realtor & ran them by a real estate investing group (a very expensive one) that I was a member of and got great feedback from almost everyone except one person thought the appraisal was inflated.