Another note here is that they also run the gross expenses against this fictional number and add in Asphalt Repairs, Payroll and Management fee.

I will say you're going to have get pretty far from Austin to find many parks that aren't owned by sophisticated investors.

In most states working with pre-foreclosures are sophisticated transactions that must follow specific laws and guidelines.

I have been doing participation notes for years.. keep in mind BP is mainly a landlord site.. not a lot of sophisticated money lenders on this site... there are a lot of sophisticated landlords though no doubt.. 

I find that cap rates can be very deceiving because these depend on how the seller either operates the property, or what their "proforma" says (usually a very blue sky), and if you're dealing in the 1-4 unit space, this can be all over the map with some less sophisticated sellers leaving out basic opex items like property taxes (I've seen it!). 

If the answer to both of these questions is "no", and you are not a highly sophisticated investor ...

@Tony AsbilleI used buildium before.. it's excellent but can be very sophisticated at times.. preparing financial statements is amazing

The next targetAs the IRS and the others ramp up their safeguards, identity thieves are now targeting tax professionals, human resource departments and payroll officers to get more data – such as copies of W-2 forms – to put together more authentic-looking tax returns that will slip through the defenses.The group is working to alert those professionals as well as continuing to warn taxpayers as well.

However, it also depends what exactly those expenses are, e.g. unnecessary payroll would be something you should be able to correct (and if you lower it, you increase the value of the Facility); high flood insurance or excessive property taxes are what they are and typically cannot be reduced, very well throwing off the "industry standard".Typically we recommend buying a Facility as it is currently performing (past 12 months) and use a pro forma only for where you can realistically take it. 

or are banks in your your area less sophisticated ?