I am interested in a property in Rhode Island and the flood insurance premium is going to be a huge factor in whether I decide to move forward with this property or not.Thank you

Family increases your risk factor it does not lower it.

I do agree w/ @Aman S. on variables to consider and believe that metering of units is a big factor in pricing becuase of the ability to minimize variability in your expenses. 

Don't forget to factor in the tax impact.

Another factor that we re considering is good elementary school district area and not father than 25mins to NPC in millington.

Person A's tax rate is 30% after taxes he is left with $70His cash on cash return not factoring in taxes is 10%his cash on cash return factoring in taxes is 7%Person B - $100 return on a $1000 investment.

This may not be the case in your situation but many times that would be a factor. 

When looking at properties that have had long term tenants the deposit amount is really not a factor in deciding whether or not we would move forward on a property.  

Has nice curb appeal.Tenant #1 is current owner who built the building in 2001, and would like a new 3-5 year lease at a rate that we are happy with.Tenant #2 has existing lease thru 2021 at a rate that we are also happy with.Unit #3 is 1,200 SF that we think is easily rentable at $15-$20 SF/Year.With the above scenario, we calculate:GRM 6.7Debt Coverage 1.82Cap Rate (Purchase Price) 9.4Cash/Cash Return 13.4% with 8% vacancy factor.  

Like someone mentioned earlier, a major event like gentrification or other factor would be needed to push values up.