Are positive cash flow SFR deals at 7% interest rate possible?

[Axel Meierhoefer]

I am wondering if there is any historic precedence where the mortgage interest rates have shot up as much as they have recently without the FED really changing the rates much? There has been a ton of noise in the media but the reality remains that the FED rate 1 year ago and today is only 0.25% difference.  

I refinanced the mortgage on my house almost exactly 1 year ago and got 2.98% for 30 years. Today I see rates in the upper 4%'s and low 5%'s. 

Thinking optimistically I am smiling my face off knowing how affordable my payments are now. Thinking pessimistically I wonder what happens when the actual FED rate hikes occur, currently predicted to add up to an increase of about 2% to reach about 2.25% - 2.4%. 

Will we just sit and stagnate and see that Fed and real market rates join again or will the markets keep staying ahead of the FED and we get to mortgage interest at 7.5% - 8%?

Also, will we still be able to find SFR deals that pan out when interest rates go up like crazy following prices that don't seem to stop increasing due to strong demand and lack of inventory?