Below are some more details and a few questions.PROPERTY/LEASE-rural Minnesota town (around 5k people population)-built in 1974-property is in good condition, right on the main street-10 units ranging in sqft-1 unit on a 3 year lease, 7 are on a month-to-month lease (not sure how long they've all been there), and 2 are vacant (yearly rent for these 2 open units combined would be around $22,000)-there is room for about a 5% increase in fair market rent for the units on a month-to-month lease-the expenses paid by the owner are taxes, insurance, utilities, snow removal, cleaning the common areas and minimal maintenance-yearly rent $133,560-yearly NOI of $103,447QUESTIONS-what are people seeing for office/retail CAP rates?

Especially if the reason section 8 is capping at $1,211 has to do with a dispute of fair market rent in that area, for that property type.

Much too expensive and you're lucky if you get 4% net caps.

Only times it may not be true is if you don’t do same day turn overs or if the area caps the number of yearly stays in some way.

I also have underwritten in 15% vacancy, ~$200 over for utilities, and $300 for property management which COULD be removed if profits fell as we have a live in partner doing that (gains equity year over year at 1.5% each year capped).

The two more recent ones (last 10 years), one is more of a townhouse style and because of the condo fees (combined with caps on rent increases) is harder for it to cash flow. 

Ask agents what the Cap Rate, ROI or Cash-on-Cash is on a property they recommend you buy!

Also, another benefit of a DSCR loan is that the lender won't consider any debt you have which can often be a problem for trying to qualify for a loan as debt to income (DTI) ratio is capped (usually at around 50%) so all debts including the property associated payments have to be less than half of your income.

A lot of competition amongst capital leads to lower cap rates.

Fair price point: Depends on the area, cap rate, price per sqft, etc.