A business line of credit or personal loan offers flexibility, while a VA loan could be useful if you're eligible, though it’s for primary residences.

If you buy in at a good cost basis with solid fundamentals, you're going to come out ahead in the long term.

Quote from @Rochelle Gerber: I may leave a current employer and therefore I believe I will be eligible to turn my 401k into a real estate investment product.

Also I want to add few things.Structuracally there's fundamental very wrong in PRIVATE EQUITY/PRIVATE INVESTMENTS in CRE ( well almost in anything):- From realized investment, track record even the sophisticated operator is questinable, you can't just keep selling 5.2 cap to 4.8 cap and expect this to be continued, it is just impossible- Multifamily syndication CANT survive if financing aspect is only 5 year baloon, it has to be 10-12 years at least.

Are employers moving in, is the population growing, is the average household income high, does it have good market fundamentals?

These neighborhoods have had favorable zoning for a number of years and development usually follows the path of least resistance.Keep in mind prohibitive zoning is a leading barrier of entry and is usually why neighborhoods lack new supply even when the underlying fundamentals and demand are strong. 

Increasing your payments with PMI, closing costs, and higher interest rates means that you’re buying your VA eligibility (your down payment amount) at a huge cost.

Based on the knowledge I have of the neighborhoods fundamentals and trajectory, will the most likely buyer still be an investor 5 years from now?

Since you’re eligible for the capital gains exclusion, selling now would let you cash in on the $200K appreciation tax-free, avoid ongoing negative cash flow, and put the profits to work in cash-flowing investments closer to you.

This specific property is not eligible for VA vendee financing, so that may be why it's more negotiable?