No one is against equal housing opportunity, the market can make rational decisions on its own.

On the equal protection issue, unless  you fall into a "protected class," equal protection doctrine only requires that a law have some rational basis.   

I know we we began there were a few things that needed to be in play such as; price to rent ration of 2% or greater, Landlord friendly tenant laws, reasonably low cost of entry $50K multi-family and the ability to partner with a lender who worked in the market. 

Everyone needs to be on same page, same level of expectation, same commitment, same risk tolerance, same level of rational thinking, etc.

@Jeff Morrison The issue you are facing is called "Non-Warrantable Condo" due to the high investor ration.

While I think most rational people would agree that having your kids in a good school district is very important.

If you can borrow and keep the loan to value ration less than 70% of the after fix up value then you should be able to get a hard money loan.

Then you get the difference less any closing costs or pro-rations.

I see no rational reason for putting the money up front and "Seasoning it"  When there is no sufficient reason for something like that to me it is a red flag of a scam. 

Also, if you plan to live in the property, you can get a high-ration mortgage with a downpayment of 10% {I do not think 5% is available on multi-units, but perhaps it is}.