It looks like the party is ending, at least with this lender.Yeah, there's ways to possibly get around this (with added costs and/or drawbacks) but I don't want to get into those weeds in this post.I knew we were spoiled with this lender, but I really got hooked on these terms especially the 30 year amortization. 

@Tyler SampleThere's a book on this called Set for Life that answers many of the questions you're asking, which all come down to what you can do about your housing situation to minimize what you obviously understand are the drawbacks to owning a property that produces no income.

You do not have the ability to add classes or subcategories which is a major drawback and makes things very difficult once you get numerous properties.

But, however, to get the FHA loan, I know you have to have so much residency and that's what's kind of a drawback for me right now.

Only drawback is speed.

HomeStyle will be 1/2 the rate and 1/2 the closing costs as HML but the slower closing time and need for downpayments are it's drawbacks. 

One other drawback aside from the inability to block partial payments is the tenant's ability to reverse the payment after it has been made.

In addition I've attached an article which cover a property's value and possible foundation problems of homes near train tracks. https://homeguides.sfgate.com/drawbacks-buying-home-near-rail-track-45619.htmlBest of luck. 

I do like the idea of getting a large amount of my money back to reinvest if the deal goes smooth but what’s the drawback if I take the safe road and purchase a sfr that cash flows ?

Easy to install, the one draw back is cost.