I have very very limited knowledge of Pittsburgh but my guess would be closer $1800-2000 for both.  

In my observations, a lot of well off people in the area seem to use these investments for tax reductions and not cash flow investments, making the cash flow properties even harder to find as prices are inflated by that demand and they could care less about positive cash flow.If you can boost rents to 1% or more of the purchase price as @Rich O'Neill suggests, you'll find its probably much closer to a worthwhile investment.  

My concern is that my rate is 5% and current rates for investment property is closer to 6% now.

I'm hoping to also include seller assist in my offer. contingent to financing and also inspection.

an upcoming inspection on the propertywhat else do I need to be thinking about from now until I close on the property?

I would take a move in/move out inspection form, and a camera.  

I have my first commercial property under contract, and we are getting closer to a close date, however things still keep "popping" up last minute on the bank end.

No inspection will tell you everything that is wrong with a unit or what may come up down the road. 

I spoke to him (the son) briefly yesterday as I was at the property for the home inspection - he said that him living there has been part of his "compensation package" from his father for managing his father's properties.

Low risk, Low DTI inspection, Low work (someone else finds the deal) and often without any personal recourse if it goes belly up.