If it is big enough for several individuals or 2 families to split, it is a good value for them and gets you a better return. 

10% vacation loan How did you add value to the deal?

The lender's AVM valuation came in about $20-$30k above the value of my home. 

I have been actively buying single family value add rental properties in Ohio for the past 2 years.

Some DSCR lenders will go down to a $75K value and a $55K loan amount.

The value for the resident is generally more about location with relation to a commute, comfortable furnishings, an accommodating owner/landlord, a fenced yard if residents have pets and affordability.

The properties are valued too high that the best confidential rent does not justify cashflow.Any clue of what I may be doing wrong?

My conclusion is that Oregon offers some of the most investor friendly coastal property operating expenses and value in the country. 

So as a novice, you have no idea how to value the asset, and are trying to broker the loan to someone who has already seen it. 

Some of these properties are offered at a fraction of the market value which is one of the reasons investors are incentivized to buy.