Thats a very real impact on your life as if you took the $60 - $70K and invested it in something that returned 12% to you. 

The bad news is....you guessed it...the tenants are next door and every piece of their drama will directly impact the quality of your life.You and wife need to be 100% sure you are on board with this idea and are willing to gut it out if you get troublesome tenants, which is common for first time investors because you won't know how to screen as well. 

Please add other relatedhttps://www.jacobinmag.com/2019/06/new-york-housing-tenants-universal-rent-controlhttps://ny.curbed.com/2019/6/14/18679507/rent-regulation-new-york-state-reform-legislation-passedI'm in Rochester, NY and looking to invest locally where I can oversee my properties with a reasonable drive.Does this primarily impact only unethical landlords?

One link for you is below,https://www.travelwyoming.com/wot-news/wyoming-releases-2017-travel-economic-impact-numbers-traveler-spending-and-visitor-volume2.

For example, take the Austin Independent School District:Such escalating prices [in Austin] have taken a toll on the Austin Independent School District, where the city’s lack of affordable housing and the increase in multi-family developments “has negatively impacted the school district's projected growth,” Reyne Telles, the district’s executive director of communications and community engagement, said."

However, the LTV limits prevent us from making that happen (best we're seeing for a cash out refi on investment property is about 65%, but our PenFed loan is at 80% CLTV), and we'd rather work through a minor cash flow impact today than settle for a long term (30 yr) cash flow crunch (of course planning to pay off HELOC before it converts to long term debt).Good luck!

(typically) Be careful about too much credit card debt; try to keep your balances around 20%-25%, much higher and it will impact your FICO. 

We paid the impact fees to the city to make it a legal basement apartment as well.  

Those things will add value to the house if you were to sell it but will most likely not have a huge impact on the rent you can charge each month.

Firstly, you haven't provided nearly enough information for anyone to offer an informed response...I think BP'ers just want to see their post count rise sometimes...Anyway, CAP is merely an imaginary return that folks are willing to settle for...and it's pointless to use when valuing a 3-unit residential property....it has zero impact on value or what you should pay for this property.