A contractor doesn't work for you for 15 years and then steal something so petty.

If you're not careful you might think you're getting a steal when all you're getting is a 40k money-pit.  

The idea is that after verifying their identity, I could just provide the code to the lockbox and people can show themselves around the unit without my presence and lock up once they leave.

I'm in an area where FHA and Freddie/Fannie limits are identical, so I can't speak to that from experience. 

What up @Garvin Yu, I'm on an identical path as yourself.

I've done the math in the past, and generally it plays out such that going FHA is mathematically identical to having a normal 30YF at 80% LTV, and a hard money 2nd position loan at an interest rate north of 10% for 16.5% LTV (CLTV 96.5%, which most FHA loans are).

I'm stealing it ;).

The extra two units may make it a steal.

One in Memphis the other in Oklahoma city.The memphis was C trending to D... they lost 500k and felt they were lucky numerous managers all of them stealing from them.. flying there once a month.. crime through the roof etc etcThe other bought a 330 unit in Oklahoma city.. she sold her prime 75 unit in ORegon that was a 6 cap to get this great 8 to 10 cap... well it almost broke her... theiving managers collusion with contractors..

People pay a premium for these areas and tremendous growth but hard to find a steal.