Quote from @Kaushik Sarkar: I’m exploring strategies to scale my real estate portfolio given the current mortgage rate Not sure much makes sense at 11%...Ouch....tough enough at 7.5%   Might have to put more than 20% down to finance....maybe 30% in North Texas.   

I've been there, and it's important to know you're not doing anything wrong, it’s just a tough market right now.

It's going to be tough to get much better than that right now. 

Typically will be rent by rent strategy (which is tough for none owner occupants) or College rental.   

It is difficult (though not impossible) to make condos pencil out for a positive ROI is tough (but not impossible). 

The VA and Fha loans have been able to do it but their strict appraisal guidelines make it tough to buy the often older homes in my market in Virginia Beach / Norfolk Area. 

Option 2 is high risk, as financing may be tough on your situation.

Investing is tough here because its popular and saturated, but there are still good investments to be made.

I also require additional security deposit and sometimes a guarantor if they were approved in this manner.I also agree that this situation sounds like a pattern not a one-time mistake or short term tough situation that caused this.  

Even in philly in D class area it is tough to hit the 1% rule.