In California, it is capped at 2% per year.

Hey @Tyler Condon - seller credits are capped at whatever the lender's limitations are (ask your lender). 

I have liquid funds ready, but I want to make sure this is worth my time compared to the 5-6% cap rates I've seen on multifamily units in South Florida, which are close to what I already get from CDs and high-yield savings accounts without the hassle of property management.I'm also hesitant to invest out of state since I'm new to real estate and don’t want to make a costly mistake.

These are my options:a) Expensive contractor - wants $8,500 to demo and cap the two stacks plus some other brick repairs/repointing. 

Even the slightest cap ex hit is devastating.

Yes, 10- 14% net caps for cash buyers.

I'm not looking to buy more until cap rates from rents (on properties that aren't more than 20 years old) are higher than CD rates. 

This property will require about 45% down to hit the 1.25 DSCR that is the median requirement for a commercial real estate loan.If you want to be at that price point with that much for the downstroke, you need to be looking at higher risk properties with a higher cap rate.

I don't have experience with renting to a sober living company, but I assume that they make a killing.These sober living and assisted living facilities are always showing up on Loopnet advertised at a cap rate of anywhere from 8-25% (not exaggerating... there are several in my area right now with a ~20% advertised cap rate)With returns like this, I can only assume that these types of properties are very high maintenance and labor intensive.You're not looking to be the business manager though, you are just looking to be the landlord who leases to the company who runs one of these lucrative operations.

of course all of those things help cash flow but is it realistic will it work.also your more than 300 negative as you have no money for maintenance or cap ex.the easiest way is to reduce debt. or if you think there is really good upside just pay the negative its just a small number who cares .