The value generated by the NOI and Cap Rate will be lower than the cost to build..

Many policies have terms that lower the coverage if a property is vacant or unoccupied for a certain number of days (30, 60,...). 

At $699K, It's priced lower than anything that is NEW and over 5000+sq in the county.

If Prop 10 doesn't pass, you can always lower the rents but if it does pass, its not guaranteed that you can raise the rents. 

Plenty of opportunities to get in the path of progress in Philadelphia and usually at a lower price point than anywhere in the NYC area.

In my area there is a city that has a bad rep for crimes, is lower income housing, etc.

Without taking too much of your time, let's jump right in.Rent comparables, using the lower-mid end of the market:1/1 - $14753/2 - $2500Mortgage 30YF @ 4.359%, 14% downTriplex- 3/2 & 1/1 & 1/1Asking Price 519,000EGI65,400 - vacancy (5%) = 62,130Yearly Operating ExpensesTaxes (1.15%) - 7,785insurance - 1500 repairs (5%)- 3270CapEx (10%) - 6540PM (10%) - 6540Utilities - 1500Total Expenses- 27,135NOI= 34,99534,995 - 27,384 (mortgage- refer above) = 7,611$$$634$$$ CASH FLOW per month, or over $200 per door for this multi in LOS ANGELES, CALIFORNIA CA!!

Louis and Cleveland.In other words, the rental market is going to be just fine, as the lower income folks continue to suffer.

Should I go a lower %age on these categories, or  stay with the usual 10%?

The other thing is your interest rate is probably lower since you bought a year ago.