CAP Rates can be a beautiful thing, they allow an investor to get a quick comparison of properties without digging too deep into the deal.When using CAP rates on MHPs I want to give a few warnings because there are additional variables to consider.

The increase in interest rates follows a similar pattern as the one seen between 2004-07, however I believe that there is one major difference that makes today's market less likely to see a similar surge in delinquencies: a lower % of variable rate mortgages (Figure 2).

No doubt you won't be able to beat the 4.75%, but if that is variable or short fixed term there may be ways to better your cash-flow position. 

This cost variability depends on factors such as system design, property size, soil type, and system capacity requirements.

The ROI on tax tools varies greatly from investor to investor and hinges on several variables, some of which can be objectively analyzed by a real estate tax expert and some of which require some subjective analysis (for which a real estate tax expert can provide valuable context).There are really 2 "no brainer" steps to take to get clarity for an informed decision:1 - Read Michael Plaks' posts about this topic.

Yeah, $10k is a big variable in such a low cost area.

There are too many variables like the possibility that rent rates will increase dramatically or the tenant will turn out to be bad and you will need to get rid of them.

I do not like taking over debt with balloon payments coming soon or with variable interest rates either.

I would suggest getting with a tax professional to assist you since there's a lot of variability depending on your specific situation not only on a federal level, but with state reporting as well.

There are just too many variables.