Further, the property may qualify for larger loans based on the increased cash flow ability to service debt.  

Long story short I have never put more than 10% down on a loan and I have never use FHA.   

WE dont pay a fee for the credit line as I mentioned just 1/2 point for each new loan..

They are mocking these up with interest only loans and factoring back in the tax deduction as if you qualified for the tax benefits of a real estate professional and factoring in the diminished first year property tax (since its not a full year).

What loan terms are currently being offered for these type of rentals? 

You can probably just go ahead and live in that 5th unit, but I believe whenever you go to refinance it with a bank or what not, the 5th unit will make it require a commercial loan and not residential regardless of what the county records show the property to be. 

So I'm strongly considering adding a handful of these to my buy & hold portfolio.I understand that there's no "risk-free" method to acquiring these properties subto, but have any of you had success over the long-term acquiring properties with VA loans attached?

My plan is to put 5% down on a 30-year conventional loan and have the rental income help cover part of the mortgage.

It's all fun and games until your bank freezes and converts your line for any number of reasons that are in the loan agreement.

I started 23 years ago and bought my first property with 3.5% down using an FHA loan.