There may be other factors that come into play, but that's the high level view.

How is the Interest Rate factored into this type of loan ......

So many questions.Is it manufacturing suits, office space, retail, etc.There are many factors but mostly you look at sustainability.How long are the leases, would you be able to cover all expenses and pay yourself?

The beauty of commercial is that its all about the numbers and not emotion

I can throw out some general numbers for you, knowing that it will depend on a variety of factors for your individual situation.

I am going to list the high points below:List price $35,000.00Negotiate down to $29,750.00 (15% reduction)Down payment of 15% = $4,462.50My principal = $25,287.50Interest Rate = 5%Term on loan = 15 yrsNote = $199.97Sale price to lease option holder = $44,625.00 (1.5 x my purchase price)Down payment paid by buyer = $4,462.50 (10% of purchase price)Buyer principal = $40,162.50Interest charged to buyer = 8%Buyer term on loan = 15 yrsTaxes = $50.00 (added directly to buyers monthly payment)Insurance = $50.00 (added directly to buyers monthly payment)Buyers monthly payment = $483.81 (Note + Taxes + Insurance)Buyer covers all maintenance and repairsMy monthly profit $183.84The beauty of this plan to me is that the amount I put down in a down payment is the same amount that the buyer pays me in a down payment which causes me to have ZERO money on the table when they start making monthly payments.  

I live in the Hartford area of CT and up until learning about the BRRRR strategy on BP, have really only been focused on an owner occupied Multifamily (3 or 4 units) as I was pre-approved for 5% down up to 275k (more when 75% of property income factored).

You need to factor for property management.The goal is good, just make sure the math works.

I can tell that you are a numbers guy.I would encourage you to spend a few minutes with every deal working on your gut-check factor. 

Properties in high crime areas aren't worth much so you can't buy them for the appreciation factor.