On top of this, you need to be able to determine if a property is a good deal, and you then need to pull the trigger immediately or someone else will grab it.

I'm honestly looking to do a walk through with the calculator tool to evaluate and be able to determine a good rental property deal. 

That's why the one you're living in has a lower rate and higher ltv; because the risk of foreclosure is less than the rental.I would rethink the ethics of the whole thing before I move forward and yes, mortgage fraud does get prosecuted, particularly when the information is out there on the internet for all to see.Stephanie

Also is there a way to actually determine the market cap rates in the area I invest in.

Use this calculator to determine an estimated purchase price and to avoid paying too much for a property.For more information on finding the ARV, please see this article on the BiggerPockets blog. 

I viewed the unit and determined it would not likely pass appraisal inspection requirements.

You can do a search on any number of government survey website for population growth, median SFH purchase price, unemployment rate etc.. to determine if it's a market that fits your desires.I did just purchase a mix use property in upstate, NY and wanted to chime in with some concepts you may or may not be aware of.   

Definitely prevent moisture.Lots of places on the internet will give stats on which remodeling projects have the highest ROI.Some of my favorite (but less talked about) super cheap updates that get noticed by tenants or buyers but won't necessarily boost appraisal.

After an inspection, you could determine if there is any differed maintenance.

Learning and getting the math right will determine if you get a “good” deal.