This include conventional, creative options like this 5% down option, DSCR, non-recourse, commercial, LOCs, HELOCs, installment loans, bridge loans, etc. 

Your best bet is some kind of bridge loan to close efficiently and then refinancing once it has been seasoned to take full advantage of that discount that you are getting. 

Hi Jordan,If you do not qualify for a traditional bank loan, you may consider refinancing into a bridge loan to help stabilize the asset, work on your credit, and income to qualify conventionally. 

It could be that they have burned a bridge or two.

May have to go with one of the quotes I received for 500K and bridge the gap elsewhere.

In a nutshell, Fannie Mae Homestyle loans enable financing for property renovations alongside a purchase or refinance, while Community Second Loans provide subordinate financing to bridge the gap between down payment and closing costs.

I would recommend either a HELOC as well so you don't have to refinance into a higher rate mortgage OR a refi bridge if they are free & clear and you are OK with a higher rate to get max LTV on these SFR's.

Also with a cheap VA loan, how do you bridge the gap? 

You want to work with a licensed lender that specializes in bridge, fix and flip, ground up construction and DSCR loans .

It sounds like you're accustomed to more permanent financing options, but a flip loan is really a short-term bridge loan that acts like a construction loan.