I think many people tend to think about the monthly payment number and not about the interest rate.

B class will be basically break even maybe slightly positive cash flow on a good deal with your typical 20% down payment and financing the rest with todays interest rates. 

However, I don’t yet have the funds for a down payment on another house, and I’m trying to figure out the best option for where to live while I rent the apartment.Do you have any recommendations for managing this transition or tips on finding a temporary place to stay?

Even if you only owe $26,000 on the loan, your payment will still be the same.

I offer an online payment portal to submit rent payments via ACH or CC - they "couldn't figure out how to use it" so I set us up to accept Zelle payments.

Hello Kyle,When screening applications for the properties that I manage, I always look for:- Income of at least 3 times the monthly rent (verified through the employer)- Credit score of 580+- Rental verification with past landlords (no outstanding balances, no late payments, and the property left in acceptable condition)- No history of collections, evictions, or criminal offenses- No overdue debt (except medical debt)I have found this screening standard very helpful when finding tenants who pay on time and treat the property well!

The interest only payments aren’t getting any cheaper.

If you can come up with an extra 1.5% and finance with a conventional loan you have none of those downsides, a lower monthly payment and PMI only until you hit 20% equity

The seller would need to include a clause saying what you CAN'T do, which is what a pre-payment penalty would address. 

At some sales they will even accept payment the day of the sale during the auction if that property has not been sold yet.