My question to you guys is if a property has a positive cash flow but the cash on cash return is pretty low would you still take a chance on it???

After reading through the forums for the first time today, I am feeling like we should just sign another low payment lease so that we’ll have more time to search for a great deal.1. 

The rents in there may currently be too low to warrant development and construction of a nice, new 15k SF building now, so I'm looking for ideas for land banking with cashflow.

Leveraging the property to put your equity to work will not improve your position with your rent as low as it is.

@James Maness I think the prices are getting a little high, but if you are looking to purchase low income units, I don't think they are as affected by the overbuilding of newer units that target the higher income tenants. 

Sure, there's minimal property management, but from what I've seen, competition is very, very low.

We countered back at 149k, buyer countered @ 146k, I accepted but now.....Buyer is asking that if the appraisal comes in low, I split the difference between appraisal and the purchase price.Context of situation is I’ve decided to sell and 1031 exchange in hopes to buy a 3/2 to further invest (buy/hold). 2 Bathrooms tend to rent out better.

Buyer is asking that if the appraisal comes in low, I split the difference between appraisal and the purchase price.

They are low cost and easy to deal with. 

If the owner doesn't care enough to find keys and grant access, you might do your best to estimate rehab costs and explain that when you make an offer (assuming a low offer).