I’m still a fish out of water so I don’t know where to begin.

I know people do it in Cali and NY but I don't think I care to operate in an environment where I can't non-renew at lease end because I want possession of my property back. 

@Marcellus Sims- 1)  putting another  50- 55K toward the down payment  will not change your  new payment a  great deal   2)  the  rate of  5.99%  with 2.5% loan fee  seems very high   even in todays  higher rate environment ,,,this is likely due to the  score  ..is this a  FHA loan or a conv loan 3)  28% housing  expense is normal ..many borrowers  have a much highere ratio ....4) Did you get  pre approved  and  if so  - what was the max  comfort zone  payment you were working with ? 

Some lenders are increasing their fees to try and counteract the current interest rate environment and stay more competitive on their rates without substantially affecting their bottom line.

I'm just interested in how something like this happens on this scale so I was fishing for two things:1.

@Brian Jackson Give a Man a Fish, and You Feed Him for a Day.

We are going into a rising interest rate environment, which may make it difficult for new borrowers to purchase your unit. 

So was curious given the high interest rate environment we are in would justify going all cash. 

All this being said, you of course want to also look at your exit CAP rate, and in a rising interest rate environment it's entirely possible that CAP rates will expand again so if you are paying up for the ability to execute value add I would also stress test the post value-add valuation with an expansion of CAP rates to ensure that your value-add opportunity isn't eaten up by a decrease in overall valuations. 

I'm new to the bigger pockets environment and new to realestate investing.