If you can tolerate D class, you can get some very low priced housing in this area. 

It depends on your tolerance.

While every financial advisor should listen to your needs, figure out your risk tolerance, and find out what your goals are, I believe most financial advisors have their own agenda and the products they like to use as their core. 

You need to figure out what your level of risk tolerance is.

In regards to your first question, I would keep looking in San Antonio if it were me, but each investor has their own parameters, risk tolerance, and appetite. 

Bottom line what is your goal and what is your comfort level or risk tolerance?

I dont think that is something someone should even have to tolerate.

I actually hope some of these rate hikes slow the speculation, I think it will a healthy thing for home buyers, society and even investors with a normal level of risk tolerance.

Drew Farnese a HomePath Renovation loan does not require a feasibility study or a HUD consultant, like some other programs.And if the lender requires this (as an overlay) but did not disclose it on the original GFE within 3 business days of triggering RESPA, there will be a cure tolerance and the lender will end up having to pay for it.

Then you have to decide on what type of returns you want and then risk tolerance to decide on buying 1st position or 2nd position notes.