And maybe the listing broker knows that, that's why they think it should sell at a 7% cap rate, and maybe they are correct. 

He will be selling it to me at almost $150,000+ below appraisal.

What is your final plan for the property (rent the units / sell)?

I am probably selling this unit next year so I'm not looking to go top of the line on a rental condo.

In the beginning I was buying the companies I believed in, everyone knows buy low sell high but nobody really know where is the low and high.

But the expected appreciation (historical average for Oregon is 4.6% annual) along with the other returns make for a decent investment, and I could sell today and make a good return if needed.

Usually, novice investor is asking this question to realtor.Now since you are in San Diego, you should try to "sell" in San Diego and "be creative" in San Diego.If San Diego realtor is also investing OOS then there's no point become realtor in San Diego lol ; sorry but you have to find out market opps in your market, we expect you to exploit the oops and give it to us lol

Most sellers listing right now are motivated and/or rushed to sell the property. 

Was looking for some better ideas for tax planning, and saw this one, but then wondering now how much money I need bring to table.I also have another house I could sell, and maybe 1031 exchange with like 300k equity in it, so not sure if that would help.

These 2,500 homes have an average BPO of $150K, and we are selling them at $32K/property, and each of these properties comes with:1.