I saw a duplex in Memphis for $23k that brings in $600/mo gross.

If so, does this also have an effect on your personal taxes as well (will it reduce my adjusted gross income?)

As to how big are these projects - Palm Springs will gross about 14 million, small by residential standards.

My company doesn't cover anywhere outside of Middlesex and Somerset counties but we typically charge 8-10% of gross monthly rent with no Leasing fees or junk fees included.

A lot of B or C locations will offer modified gross or single net leases.

That's not sustainable, so I'll need to increase them, even if that means I'm up to 65% of gross income.

Potential Gross Income on 6 units at $1150/ea = $82,800/yr (even less if you live in one of the units)Less 50% for expenses, leaves a Net Operating Income of $41,400/yr. 

@Noel Devere-Bennett$600 * 12 months * 16 units = $115,200 Gross income$115,200 * .95 (5% vacancy) = $109,440 Gross adjusted$109,440 - $15,000 = $94,440 NOI$94,440 / $400,000 = 23% cap rateI think your expenses are way off.

Cap rate is calculated by (gross income - operating expenses)/purchase price.

Meaning, typical rental rate in the area is about $1500, and assumption is to rent each room out for $750, for a gross monthly income of $2250.This is my first investment property, so I'm a bit skeptical on the figures, and worried about multiple tenants with multiple lease agreements occupying the same unit.