Laravel 5.2 MSSQL connection issue

I'm using FreeTDS + UnixOdbc to connect to a remote MSSQL DB through a VPN. I'm also using Vagrant. I can SSH into my vagrant box and run my tsql command and connect to the instance I've set in my freetds.conf file.

But the Laravel app itself doesnt connect. It's being powered with Nginx. I get a PDOException: SQLSTATE[HY000] Read from the server failed message in the laravel.log.

Here is my freetds.conf file:

[SDSQL2DEV]
host = xx.xxx.xx.xx
instance = sdsql2\dev
port = 65156
client charset = UTF-8
tds version = 4.2

Note that I have to set the tds version to 4.2 or else no matter what I do I cannot connect or run queries with tsql. Seems like I may have a deeper issue.

I'm sure the correct freetds.conf file is being used. I can run tsql -C and see settings I toggle take effect. Here is the output from that:

Version: freetds v0.91
freetds.conf directory: /etc/freetds
MS db-lib source compatibility: no
Sybase binary compatibility: yes
Thread safety: yes
iconv library: yes
TDS version: 4.2
iODBC: no
unixodbc: yes
SSPI "trusted" logins: no
Kerberos: yes

If I change the version to 7.2 which I would think is supported by freetds v 0.91 then I receive this message:

locale is "en_US.UTF-8"
locale charset is "UTF-8"
using default charset "UTF-8"
Error 100 (severity 11):
unrecognized msgno

I'm pretty experienced with Laravel, just not integrating with MSSQL but I think I have the Laravel settings configured properly. Here they are:

// .env
MS_CONNECTION="sqlsrv"
MS_HOST="xx.xxx.x.x"
MS_PORT="65156"
MS_DATABASE="dbname"
MS_USERNAME="dbuser"
MS_PASSWORD="dbpass"

// config/database.php
'sqlsrv' => [
    'driver' => 'sqlsrv',
    'host' => env('MS_HOST', 'SDSQL2DEV'),
    'port' => env('MS_PORT', '65156'),
    'database' => env('MS_DATABASE', 'forge'),
    'username' => env('MS_USERNAME', 'forge'),
    'password' => env('MS_PASSWORD', ''),
    'collation' => 'SQL_Latin1_General_CP1_CI_AS',
    'prefix' => '',
],