That occupancy difference will likely lead to lower ADR and/or lower occupancy rate, affecting ROI potentially.

Some seem to use US-prime rate and others use Libor.

Most of the time a condo/townhome won't be the right fit due to condo fees, hoa fees, etc that make it more costly for the ownership but also more management intensive.

Things about condos to consider: HOA fee always goes up and has special assessments so you need reserve funds.

From an initial impression, this makes the process of long-term investing much more convenient, and the only fee (apart from regular agent/lender commissions) is the property management fee!

You might find that "saving" on taxes is small compared to what the property might be worth (talk with a trusted real estate agent who knows the area and can give a projection of property values).Don't forget to factor in closing costs (real estate fees, pro-rated property taxes, etc) and take into consideration your other income and/or investments. 

Interest rates are pretty high right now. 

It is not really true because to get the same rate it will cost much more in upfront costs in either origination or discount fees, AND much higher back end fees in pre-payment penalties.

Has a fee agreement for him. plus 15 hr term.

I drives me mad when agents claim "comission rates were always negotiable".