Fargo has actually grown and seen an increase in demand for housing with a simultaneous decrease in unemployment, which was already ridiculously low, since the oil 'bust'.  

Notice how they see comps in their preferred area of say high $400's, but THEY only pay in the say low $200's?

With interest rates incredibly low (I think the best online savings I've seen is about 1.25%), what opportunities may I be missing?

The rents/HOA dues compared to the listing prices (140k-220k) make it seem like an easy entry point into real estate with relatively low risk since I will live there initially and a large portion of the property is taken care of.

@Kerry Baird has it right although we have refinance products, at 70% cash out, that doesn't take the number of properties owned or financed into the equation.  

Commercial loans tend to be 20-25 year term loans with a 5 year balloon (meaning your rate/payment structure must be redone every 5 years).Looking at the Fannie Mae eligibility matrix, you should be able to go as low as 15% for a single family investment property and as low as 25% for a multifamily.  

Many times a low appraisal is somewhat due to the appraiser's lack of knowledge of the area, but if it takes a very intimate knowledge of your immediate market to justify your price, you're probably going to run into the same problem with the next appraisal.

High jobs growth and lower than average cost of living, low property prices and some of the lowest property tax rates in the country.

$20K profit with free contractor labor, your time, risk, etc. seems way too low and way too risky. 

@Robert Adams  they low balled one of my Dallas properties I just would not sell to them because and I waited a few weeks and got 25k more.but its the power of radio marketing at play.