Inventory is low (less than 2 months for residential houses) and there are still multiples offer situations on well priced properties. 

It depends on the situation, but yes if you are making offers low enough that 90% of them will not be in contention, and you are asking for bids on every one contractors will get fed up with you real fast. 

No, they’re just trying to show how much Your typical financing may cost...the rate looks low BTW.

Also, I've heard of HomePossible and HomeReady conventional programs, and I believe HomeReady you can own other real estate and still do a low down payment program, but I'm not sure if that's only for single family homes only.  

I'm worried that I may be running myself out of a good deal if I make these percentages too high but also concerned about being too low and having a major issue arise. 

I didn’t want to shoot too high or too low so I wanted to get some insight on the figures you all use. 

Its priced so low that people are trying to book 1-2 years out. 

I guess I was too naive/optimistic in thinking non owner occupied property rates would be in the high 4s and low(er) 5s. 

A low to high range would be very useful.

@Brandon Turner has a great book about low and no money down so take a look at that.