This might offset the rate difference, especially when conventional financing isn't as easily accessible due to strict income or employment documentation requirements.2.

. - If you are NOT buying the property as your primary residence (in this case, it sounds like it will be an out of state rental), you are looking at putting 20% - 25% down if you are going to use a conventional mortgage.

In some markets, theres a trend of converting student housing back to conventional multi-family to meet housing demand.

(Sometines using a conventional loan) Short-term pain for long-term gain2.

.- Fannie/Freddie (f/f) residential conventional loan is the cheapest money available.

I'm an investor in NJ, mostly in North Jersey but very difficult to grab multi families, anywhere south of Monmouth county there is more inventory and have a better chance of landing something that makes sense. 

Why not a conventional cashout refi? 

These loans typically don't require the same strict income verification as conventional loans, and they focus more on your assets and property income.

. - If I were to find some creative renter solution and low-ball the market rent at $1700, I could only put in about $180K total assuming a conventional mortgage to generate acceptable cash flow.So, apart from increasing rent and managing the property myself what are ways that I could make something like this work?

2.Private Money Lender – I’ve heard they can be more flexible and might focus on the property value more than my employment status, but I know the interest rates are higher than conventional loans.