I've had numerous situations where the bank came back after receiving my offer and say there are multiple offers and they wanted "highest and best".

Back in The Day, and after attending numerous guru courses and purchasing several good REI books, I studied through it all making copious notes, tagging all the interesting points, and then took it all in to my attorney.

These are discussed in numerous other postings.

A different person did the walk-through with her and didn't mention anything about the carpet needing replacing or a pet fee.They sent pictures of the underside of the carpet after they had pulled it up and there are numerous stains of various sizes.

My concern was that the numerator and denominator both go up (NOI, Cap rate) during times of high inflation.Vikram

I've also seen numerous cases where a basement unit is added.

Plus... some how people ALWAYS have this perception that LA properties are high... and it's more of a battle... anyways...

Now even if interest rates go up in year 10 it probably means that rents  are also going up so even at a possible higher cap rate the "value" can be higher since your NOI will be higher.BUT, the main thing to realize is that cap rates are based on the market's perception of value of NOI and all cap rates are is a means of expressing that value.

One thing I keep seeing in real estate is that the 'common perception' is often not exactly right.

There are other ways to bring rents up through intrinsic values or preceived changes, quality of tenants, neighborhood perceptions, master lease operations for employee housing or client housing arrangements are sometimes possible.