There does seem to be a "gentle" argument about the efficacy of using cap rates. 

One of these days, a renter will exercise the purchase option, the mortgage will be paid off.

Any RE agent advising to you that this is an option that you should exercise in order to better afford a home should have their RE license revoked for violating their fiduciary responsibility to you as a client.

Proximity to shopping, coffee houses and exercise options are considerations, too.  

BTW, I generally don't do this part of the exercise since I have an attorney firm handle it (along with interfacing with the trustee... which sometimes can be a pain if you are not an attorney;) You will need to pay the sheriff for service ($30/person) and the cost of the writ ($25).

For this exercise lets choose Bakersfield.

All rights, powers, options or remedies afforded to Buyer either hereunder or by law shall be cumulative and not alternative and the exercise of one right, power, option or remedy shall not bar other rights, powers, options or remedies allowed herein or by law.

Originally posted by @Dave Poles:This 5-6 hour exercise proved to be too daunting for me as I have both a business and part time job.

So lets assume for a second that there is that loan out there at is a performing rate lower then current rate and the lender does exercise their right to call...I wont buy and transfer title which I have control unless I see at the minimum 25% equity or 52k which ever is greater...

@Michael Quarles  OK mike for a test run here...maybe we can do this as a live exercise for BP and let those interested shadow or follow...