IMHO: anyone hoping for a price correction better hope…There aren’t 1,000’s of other people waiting for the crash to either beat them to the deal or bid the price up  Current owners don’t hear that rates will drop this year, maybe in a few months. 

Does anyone have a bit of information on what rates I can expect to pay for CA capital gains?

Those numbers would leave a landlord bleeding cash under the inflation rates we have seen in recent years.

Our current interest rate is 4.875%.

Pick the one that rises to the top. 

Is the rent rate accurate?

Many carriers will not insure someone in this case at all, and the ones that do (if available in your state) will charge dramatically high rates, think $10-$20k a year for a policy.

Any lender can throw around possible rates, but that's not the same as getting you qualified.

This may be due to a misunderstanding of existing options.FHA loans: Require a 3.5% down payment for investment properties with multiple units, but you must live in one unit.VA loans: Offer 0% down for veterans, but again, occupancy in one unit is mandatory.While some private lenders might offer lower down payments around 15-20%, they typically come with stricter requirements and higher interest rates.

Frankly, we prefer market rate residents so won't rent to new Section 8 residents but are happy to keep the existing residents that were already Section 8 residents.