However, I am seeing more interest in MTR's and have a colleague that does well buying condos and renting out to traveling medical workers and foreign exchange students.  

Got back from traveling. 

This is not "cheap" but I also think it might be worth it.

I had to live in the property due to the FHA occupancy rules, so I had about an hour and 15 minute commute to work every day.I settled on Tilton (small town in central NH) because the property was right and it cash flowed very well, and was quite cheap (at the time... 240k), I could get the loan to get into the building and own 4 units.

All too typical park owner who took all the profit out of the park without reinvesting in the business then wants to sell you the potential he was too cheap to invest in. 

I am primarily hosting traveling medical personnel because there is a lot of demand for these professionals in our area and because my units are suited to their needs.

I mean you cant really create new lots for as cheap as you can buy existing.. or is it just the locations are far superior.. 

Keep in mind travel time, repairs, and lifestyle to manage the out of state rental.

This has pluses and minuses.If your property is bulletproof such as no framing - cinder block construction, cement floors, gloss white paint slapped on the walls and a cheap window mount AC, then you are in a prime position to make money with S8. 

Cheap properties look good on paper but rarely perform as well as more expensive properties.