It is class warfare and anti-business. 

A typical investment deal will be in the 20-25% down payment range with 50-75 bps over a residential mortgage rate (so think 4.1-4.3% if owner occupied rates are around 3.6%).

I am buying a small run down cottage listed on the town field card as a residential single family, but completely covered in red for commercial zone on the town's zoning map, it backs up to a grocery store and is across from a bank. 

I want to learn more about how to find a good Residential Property. 

That’s fannies max under residential mortgages and therefore spreads the risk more while keeping conventional.  

Please post the full "Closing Disclosure" and "Uniform Residential Loan Application" from that 3.XX% "non owner occupied" refinance, the docs you signed at the closing table.

-This idea that tenants (both residential and commercial/office/retail) are going to "get caught up on rent later" (by spreading out the missed payments or tacking them onto the end of the lease) is complete fantasy.

Multi Family that are close living Quarters: Residential, Multi-Family/Condos/Town Houses, 50% equity or more, owner - individual, location out of state and local, not listed on MLS. 

I noticed on the tax assessor's site that it is registered as a 4-unit, and the current owner does have a residential loan with about 80% equity build.

In NC most single wides are not considered residential real estate regardless of the foundation.