If you own small multifamily out of state you have to worry about if the tenants will pay their rent, landlord tenant laws and eviction process which often favor the tenant, if the property manager will be hands on enough with the property to keep performing or will they overbill or steal from you? 

It sounded like you had a bit more to play with so I thought the stretch to 5% might be the best bet.

On the home stretch of the flip.

Thanks in advance.If you have a purchase and sale agreement that's duly executed, I think you could sue for specific performance to complete the transaction. 

You can find properties much cheaper in both markets but they will be in rough areas that won't perform well. 

New-build properties, engineers moving, baby boomers retiring, makes the entire stretch a good formula.

Be sure they perform annual inspections and preventative maintenance services.

Most people will adjust their wants based on other things both tangible and intangible.That will give you the most reliable indication of possible performance.

@Lucas Carl I found where the horse/donkey show is performed at the 2nd stop in Mexico.

Most HML's will give you a POF letter after you met/talked with them if they believe you can & will follow through & perform.