I don't have such deep knowledge of Philly as this, but this outline certainly correlates with what I have observed.

The seller even signs a document so stating (no duress) in the closing process.The only "slime" in the scenario - if any - is that which is inserted by the observer. 

I'm actually interested in this question too, so would like to hear others input...perhaps I dont know enough about this residential commercial space, but sofar dont know how a cap rate wouldn't be one important metric to consider (among others), especially if speaking with a lender.Just a 3rd party observation to the discussion. 

From my observations looks like his rent price is slightly above whats going in the area. 

Hello @Adam Zach,Interesting observation.

My experience (observing the markets and working at hospitals) taught me that you shouldn't let dreams of real estate success stop you from pursuing the things you want today.

I am observing and carefully deciding on an MLM because you can't just do them all! 

(and they're still crappy houses) I don't see a real estate down turn but am already observing a leveling off.

It's a satirous and sarcastic observation about what pops up in the forums.

Now, all these things will eventually happen but it's only in looking back that there's any ability to observe the actual timing of events.