much higher risk for everyone involved and not a beginner strategy.

In this event you will be able to purchase the property for less money now and refinance at a lower rate when interest rates drop, making your deal that much better!

How much downpayment money do you have?  

I purchased in 2019 and there was certainly a learning curve (understanding county rules and code, getting to know the local renter demographic, dealing with a limited pool of service providers in the area, understanding fire risk and mitigation; etc).

I don't know of any mortgages where you can put no money down. 

You're losing money every day (which you can go after the tenants for). 

Here is what is being considered:SCENARIO 1):1) Parents loan us money at X% rate.2) Loan terms would allow for early payment without penalty (we would get a conventional loan in 2-5 years to pay parents back).

Think diversified income, ability to market effectively, no risk of OTA algorithm changes that have negative impacts, etc 

The reps i've spoke to say it's a private money lender but I just want to make sure they're a legitimate company.

If the properties are cash flowing then you are blowing that money elsewhere and if you do not change your habits you will be back in the same spot.