.- Fannie/Freddie (f/f) residential conventional loan is the cheapest money available.

Why not a conventional cashout refi? 

The sales people will layer these types of conventions so that the hotel community stays full as much as possible.

2.Private Money Lender – I’ve heard they can be more flexible and might focus on the property value more than my employment status, but I know the interest rates are higher than conventional loans.

. - If I were to find some creative renter solution and low-ball the market rent at $1700, I could only put in about $180K total assuming a conventional mortgage to generate acceptable cash flow.So, apart from increasing rent and managing the property myself what are ways that I could make something like this work?

These loans typically don't require the same strict income verification as conventional loans, and they focus more on your assets and property income.

Conventional investment property loans cap seller credits at 2%.

It may make more sense to go conventional, but you'll just have to see. 

Also, I have heard that after you have built enough equity, you can refi out of the VA loan into conventional financing and then use your VA benefit again.

I was thinking about a conventional loan on the property.