You provided absolutely no details or numbers, so I would say 1/2% or 1% higher of a cap rate than projects that are selling. 

The benefits of adding a 5th unit allow it to be valued based on income instead of comps, and work off of a cap rate instead.

I always wondered why combining both isn't a better approach to use.As an example, is a CAP rate of 8% or 12% or whatever number you use always a good investment?

Keep to you original timeline (check local laws to see how much notice is required for increased rent and if there is a cap). 

Looks like this is a multifamily property and if you're putting in $200k worth of renovations it might make sense to evaluate the property post renovations using a cap rate and NOI.

How important is a cap rate to you when choosing to invest in an asset or an area? 

My favorite exchange of all time was for a $10K profit on a Cape Coral Florida lot (years ago everyone - stop salivating). 

What I want is not actually freedom FROM work (because I very much like solving problems, building systems, creating teams and growing people and businesses), what I want freedom in HOW I work, WHO I work with, and WITHOUT A CAP ON MY INCOME that comes from being an employee.While this is certainly not the full "compelling why" its is a foundational part for me as it relates to understanding myself and living in line with my personal value. 

Thanks all for the replies.While I would love the house, it’s a cape in my town, I don’t feel ethical buying it.

.- 10% minimum of purchase price annually + property taxes (treated as a cap rate on a business)- 15 year monthly mortgage rate + property taxes Any opinions where I should start, or how I can determine what would be good for myself and my wife to start in would be greatly appreciated.