One of our investor clients purchased a four unit there last year, and he has seen incredible rents 15-20% higher than initially projected. 

I don't see any way that this would be the case as there are no amendments or term changes at all from the initial lease to the renewed one. 

Initially I listed for free on Zillow4 days ago paid flat fee MLS to list on MLS and have zero leads from there

By the way, they do not set the interest rate on the loan until they fund it -- so it could be higher than what you are initially quoted when qualifying for the program.  

While a hand written addressed letter, I feel would get my attention a bit more.I won't be doing thousands of reachouts initially, just 250 or so per month so while letters would be more time intensive, I am open to it if the response rate is better.

My answer would be yes for the INITIAL bill; however, after that they are on the hook because they failed to tell you there was a problem and now 3 months later, they are letting you know.

Have you offered acceptance of your initial capital bank in return for a release and waived rights to the accrued interest? 

Impressive Rent-to-Price Ratios: Average rents for 3-bed homes are about $800-$900/month, potentially yielding 12-15% gross returns.Economic Transition: While historically industrial, Bay City is diversifying into healthcare, education, and service sectors.Revitalization Efforts: Downtown redevelopment and community initiatives are breathing new life into the city.Strong Cash Flow Potential: Low property taxes and insurance costs contribute to robust monthly cash flows.Let's crunch some numbers on a hypothetical deal:Purchase Price: $75,000Down Payment (20%): $15,000Mortgage (4.5% interest, 30-year fixed): $304/monthProperty Tax: $100/monthInsurance: $60/monthEstimated Repairs/CapEx: $100/monthProperty Management (10%): $85/monthTotal Monthly Expenses: $649Potential Rent: $850/monthEstimated Monthly Cash Flow: $201Cash-on-Cash Return: About 16.08% (not including appreciation or tax benefits)These are rough estimates, and individual properties will vary.

In my initial research, I'm finding a pretty big disconnect with the deals that Michael implies in the book and what is actually out there. 

Cashed out refinanced and got our initial down payment back.