I'm just south of Denver in CO Springs and all along the Front Range there is a lack of affordable housing so finding tenants to rent out rooms is very easy and you can get premium rents.

What would happen with the CMHC premium if I went with 5% and then refinanced for 80% LTV 30 year amortization?

.): $108kARV from Appraisal: $525Note: This does not include Closing Costs (Title, Attorney Fees, UFMP (Up-Front Mortgage Premium, Inspection, 203k Consultant Fees, etc.)So closing up this section, I was semi-pleased with our ARV but was looking forward to the project to reduce basis (e.g. not using contingency) and hopefully add some curb appeal to get a higher appraisal on the REFI.Coming next... the "Rehab"...

Most builders have very specific areas they will spec a house and would rather handle site work as apposed to paying a premium unless you are creating a multi lot development. 

I was paying a premium because the listing was advertised as AirBnB friendly, now the property does not make sense at that price and they are not open to renegotiate.

There is not much land in that path and the premium price is already built in. 

You will also pay higher insurance premiums.

My insurance company keeps significantly increasing the premium to one of my rental properties every year so I have started looking into other insurance companies.

Ours are predominantly adjustable rates and if you get it fixed it is for 2-3 years and you pay a premium to do that.

That's what you pay a builder a 20-40% premium for.