You can find the deals with the specs you have put forth, especially with SFH, that tend move more slowly than lower price points.   

New drop ceiling in lower level.

For the last four years we had a stable economy, unemplyment keeps getting lower, continued low interest rates (anything below 8% is low) and a social trend towards renting (although millenials have started buying as of late).

I much prefer a lower cap rate in California knowing there is a high likelihood of long term rent growth and capital appreciation vs. concerning myself with a higher initial cap rate in the midwest but on an asset where rent grow is small and an asset that is deteriorating. 

(not really an option at this point, but I don't see how anyone makes a portfolio loan work after their max amount of Fannie loans)My question is should I shoot for $100 per door and pass on this deal if I can't get it for a lower price and all my money back, or go with it since my ROI is infinite?

If they aren't then I'd negotiate a lower price. 

Always remember that in your proforma the expenses could be different, if you can lower the costs (in my example, you might be able to get a quote for $275 per door from an insurance company, but this is in a later stage of your analysis).Hope that helps!

That’s fine if the numbers don’t work they don’t work but I’m wondering if a more experienced investor would go for this and settle for a lower profit.

I didn’t take the time to go to any mortgage companies after my wife was told in a real estate continued education class that the mortgage company didn’t do anything lower that $50,000.

Thanks for the reply, I did find that if you are a first time home buyer you can find qualify for a lower down payment loan.