Also it doesn't always hold true in really nice parks and/or California, florida, or east coast as those parks tend to trade at a higher price and lower cap rate per se. 

Also- I am assuming it would be better to gift the house before rehab is done, so it’s a lower market value?

However the downside risk is you could also experience lower returns, or even a loss, since your risk isn't spread across hundreds of notes. 

The value is the lower of the appraised value and the contract price.  

There is a somewhat trend for people to live in smaller lower maintenance homes, this is not necessarily against MFH. 

Turn key operators in warm belt states there is just not enough inventory for a viable business model unless it is at much higher price points than cold belt.Cold belt states tend to give off higher cash flow at lower price points but in general the growth patterns and appreciation levels are more isolated.

I'll go against the grain and consider offering a lower price.

Just hire out the labor at a lower cost.Good Luck!

There are nonprofits who already provide outreach and education to lower income buyers.

Higher prices for the same rents means lower returns (or lower 'yield' or lower 'cap rate').