Since it is a unique property with 4 cabins in a vacation rental destination, I am assuming the best way to value would be a cap rate on NOI, as there are not really sales comps to compare.  

As long as you're comparing ROI against your initial cost basis then you will always be able to see which is the best performer.

Increased rents don’t raise appraisal/value....4 pledges and under are valued by comparable sales. “$2-3k per unit” is considered a “rehab”.

So they have the subject property +30k compared to a property that didn't have a cottage.

@Michael Le this is my first time going into apartments so I’m scratching my head at 5 cap and I don’t really understand how this is superior (maybe just a little bit) compared to SFH. 

Hoboken is expensive but how much more expensive is it compared to Brooklyn or queens?

I just sent you a connection request so we can compare notes. 

I was always under the impression that owner-occupied FHA loans would have a lower interest rate compared to a conventional purchase.

You could pay $700k for a duplex in one area which may be expensive or cheap compared to another area.

Most of the time rates will start at 5% with rate buy down options into the low 4'sHere's what cool about these lenders.. 4-7% may sound high compared the to 3.25% from the local bank or credit union, but here's something most people over-look.