Market cap rate is primarily a function of market demand.

However, I choose not to take that on for someone else's animal."

They'll be able to tell you everything they're seeing in each area from type of renters, demand, what you can get renting by the room, the quality that renters look for that'll yield the best profit, renting furnished vs unfurnished, etc.

Real estate, more than anything else I've done, demands that you make quick high-stakes decisions on the basis of information that is always incomplete.You've got to be able to pull the trigger.

The smallest parcel that would qualify from what I have seen is a minimum of 5 acres dedicated to a crop or animals.

Here in AZ there is Legal Smart, and I'm sure in your market, if there is enough demand which with the coming silver tsunami I think that's most major markets, there should be similar.

As purchaser consider it a big negative instead of value add on a single and demand seller pay off lease or issue credit.

So now instead of being able to screen the pet(s) up front and identify this issue right away, you now have an aggressive animal on your property until A.

You certainly don't want to pay for income you plan to trim off:)If you decide to take on this deal, make sure to do a demand study for the sale of the homes before you proceed. 

I would demand they get rid of the cats.