It is exceedingly rare that I raise it though.  

Anything exceeding will be too tight and too much wear and tear, not to mention high water and sewer bill, for your unit. 

In my local market I wish to build a stream of income solely from rental properties that meet or exceed a cash flow of $10k/month after all expenses.

My guess, is that if your company is like most, you'll be hard pressed to have a career that provides you a salary that ever exceeds $100k.

I haven’t been able to figure this out: if the debt is non-recourse, why then does the total net worth of the borrowers have to exceed the loan amount?

The only thing I’ll add the if it’s still your primary residence and the mortgage on it exceeds the value of the home this counts against your networth.

I'm strongly considering just paying a huge tax bill and just having a bunch of cash in the bank to patiently search a new deal.My long term goal is to have rental income that exceeds my monthly living expenses, but am I crazy for viewing "apartment flipping" and paying LT Cap gains tax as a very viable strategy?

And for sure based on your questions and its great your asking these up front.. you should spend a few hundred bucks and let the attorney review the criminal back ground and the credit and then advise on usary issues and whats the best way to secure your loan.but your radar is guiding U correctly small balance loans can be very risky .. the money is so small if you have to sue to get it back the cost of litigation exceeds your recovery or amount loaned.. good luck and let us know how you make out.

Let's say the property management company states a limit of "2 occupants per bedroom". There's a 2 bedroom apartment, and 2 adults + 2 small kids move in. Then the couple has another baby. Would they get evicted? What...

Im currently working to meet or exceed many of the the requirements.