I’m a fan of harvesting the equity to buy more and more cash flowing properties with zero out of pocket cash for down payments.

That means that my payments are what they would be on a 30 year loan.

The metrics are different due to the financing benefits from being <5 units and corresponding down payment requirements.

The maximum fixed-rate period seems to be seven years, and there is generally a balloon payment at 10 or 15 years.

I wouldn't worry about the $1000 payment.

It's near impossible to cash flow when most homes are selling for above $750K, Taxes and Insurance added in the PITI payment is higher than the rents.You can buy a Duplex 2 unit for example in either FL, IN, or OH and not pay more than $200K the rents are typically $1200-$1500 a door.

Ultimately, leading to issues down the road (eviction/habitual late payments)

It's probably going to mean paying points at closing, a high rate, and a serious pre-payment penalty (like 5 years). 

Does the revenue good enough at least to cover the mortgage payment?

The only slight red flag was that they only accepted payment via Venmo or wire transfer, but that's how I accepted payment when I was selling lead bundles, so I still thought it was worth a shot.