It also depends on the type of properties (some less expensive ones attract more problematic tenants) and the local laws around rentals.

The really attractive part of the loan is the idea of not having to put down cash as a downpayment (even though I do have cash available since I was initially anticipating going with a Conventional 30-year loan).Is it fine to assume the risk of interest rates going up for the sake of putting 0% down?

If you don’t have the money to buy your own deal, then I see how arbitrage could be an attractive option.

One of the biggest issues with 5% down loans is they are so attractive and change the value proposition for the building. 

If yes, that is a $100 - $200 hourly rate.Is that a better rate that you make at your W-2 job or do you find that an attractive hourly rate? 

What if I were to tell you the Investor A triplex was sold two years later for a $100K profit whereas Investor B is run down and exhausted from managing their four "C" neighborhood single family homes and when investor B goes to sell,  they can only attract break even offers because the only buyers who would step to the plate were investors who were not willing to pay retail with so much distressed opportunity available in the "C" neighborhood due to limited barriers of entry. 

It is 2.875% and so very attractive. 

I have no data, but from my experience this is the key to section 8 rentals, buy and update a home which will attract the better quality section 8 tenants.

It will look attractive based off the numbers but its hard to believe unless you see these neighborhoods.

What's great abut this is MTR is very tough to get shut down by local municipalities and believe it or not North Jersey attracts a huge verity of people looking for mid term whether its through work, moving or extended traveling.