As you mentioned, MI doesn't fall off with FHA and there's financed upfront MI as well, so with the lower barrier to entry comes long term cost not to mention the self sustainability rule for properties with 3-4 units.If you can come up with the additional down payment (5% vs 3.5%), Freddie Mac's Home Possible is the superior loan product to use for 3-4 unit properties.To answer your question about 3% vs 3.5%, 3% is for single family homes, not units. 

The Power of Real Estate & My Favorite Story From My Career: In 2008 the foreclosure crises was beginning and I started purchasing foreclosures in Ypsilanti, MI, I made an offer on just about every one that hit the market and I was on a roll.

Flint, MI.

@Delicia M. I

Michigan and Ridge Road.

The states that I've been looking at are Nevada UtahArizona Washington Texas Florida Colorado  Oregon Toronto  OhioGeorgia  North CarolinaChicago  Michigan Indiana  Tennessee

In Michigan.

@Greg Moore - I have an STR in Western Michigan.

Hey @Corey M., I really like Sooner Home Inspections.

I'm a realtor in WA state and a licensed loan originator in MI, OH and FL, and I own 11 rental properties and frankly, pre-approvals are worthless pieces of paper.