So yes, more expensive homes with lower rates can be different than cheaper homes in higher areas but then actual principal, interest, and insurance will likely do the off-setting. 

I'm thinking about starting at 870k with 10% down and an interest rate of 5% with a 20 year term.

At current rates probably 30% down to get to a 1.2 DSCR.As an OOS investor, you have a huge disadvantage compared to local investors and you are cost burdened by paying a PM.

It might state you are applying at ABC Bank for an 80% LTV loan with up to an 8% interest rate with a loan of $XXX,XXXSo, if you don't qualify for that loan, or you cannot get the interest rate stated, or maybe the appraisal is too low to an 80% LTV loan for that amount then you can break the deal because you can't get the financing you anticipated but instead you are CHOOSING (based on advice of the loan person) to switch lenders.

I have the highest success rate at getting my client's issue resolved over the phone whenever I call them.

The cookie-cutter projects in Tulum have had lower occupancy rates due to various factors.

Down the line if you start to have too many properties to self manage, increased rents/lower interest rates may allow you more room to do so.

According to BiggerPockets, they rated Fayetteville as one of the top 10 cashflow markets.

I was thinking of doing rental properties near college towns as I think the income would be steady and minimal risk.What sort of capital is needed to get multifamily properties in B rated areas?

This doesn't mean you're stuck to conventional/ FHA, although those will give you the best terms (lowest down and best rates). there are NonQM options you could look into as well.