The mismatch in bed/bath count and the existing septic system capacity are important factors to consider.

As you allocate your budget, I'd suggest factoring in a decent portion for interior design/furnishings and amenities.

Interest Rates: Current spreads, rate structure, buydowns, mission driven business, factors that influence your rate, etc.5.

There are some pockets in this lower price range but they are hard to find and sellers won't let them go for the price you want often. 

There was positive population growth, medium home price growth, low unemployment, good rent to home ratios, and low crime, all of which are factors when I start looking into an area to invest in.  

I've included an example below to help illustrate this.So different lenders have different rates (which do vary even for DSCR loans) but these are factors they all consider.See example below:DSCR < 1Principal + Interest = $1,700Taxes = $350, Insurance = $100, Association Dues = $50Total PITIA = $2200Rent = $2000DSCR = Rent/PITIA = 2000/2200 = 0.91Since the DSCR is 0.91, we know the expenses are greater than the income of the property.DSCR >1Principal + Interest = $1,500Taxes = $250, Insurance = $100, Association Dues = $25Total PITIA = $1875 Rent = $2300DSCR = Rent/PITIA = 2300/1875 = 1.23If a purchase, you also generally need reserves / savings to show you have 3-6 month payments of PITIA (principal / interest (mortgage payment), property taxes and insurance and HOA (if applicable).

Of course, every owner's situation is unique and factors like the legal entity involved, purchase date, adequate passive income that can be offset with the cost segregation study, etc., will need to be considered.

Broker fees are also in the 10-20% range not $500 which makes a little bit of a difference.I do it all out here as an agent, lender, and investor so I see every angle.

As @Daniel Hyman said, getting into the 3+ property range can overwhelm people and take too much time.

Hi Chris, As financing costs will be a big factor in determining profitability, you should be asking HMLs for proposals to fund.