Some of the replies to this post mention cap rates that might be good targets to shoot for in a particular neighborhood, but what is the process one uses to determine the desired cap rate for that area? 

Find a home in a desirable neighborhood, or in a city where people want to live.

@Peter Kush In my experience you're not going to find a lot of fourplexes in desirable areas in Dallas either.

You would just need to do your Due Diligence so that you are able to see the potential in areas that may not be the most desirable at the moment.

Some options to consider might be owner financing or lease option.I would still make an offer to wholesale, and gauge her reaction.If you don't have the cash for owner financing, and must wholesale or nothing at all, I would call her in a month or two to gauge her desire to sell.In my opinion, she would like to sell, but she doesn't feel like she must sell.  

I would still want something in writing if possible but all things considered if the above is true then yes, this is a much more desirable and I can see value here.  

If we can't counsel with sellers, eye to eye or ear to ear, our chances are less in creating that desired profit. 

After talking to him a little more, we realized his actual desire was to pull some money out of the building to invest elsewhere but was worried about the appraisal and state of the building.

I’m currently employed full-time at a large software company and highly regarded amongst my peers.Although software is one my great passions, my desire for financial freedom is greater and grows with each passing day.

While I would say you're on the right track with your desire to invest out of state (Seattle really is pricey at the moment, like the new SF) I wouldn't get locked into investing somewhere just because you know people there or can travel there easily.