Downside to Owner Financing?

[Brendan R.]

I am looking at purchasing a 7-unit property from someone we know.  When my wife first spoke with her about the property she brought up that they would be willing to provide owner financing with 20% down from us.  We are very comfortable with this and the starting price (plan to negotiate from there).  

I was talking to a mentor about the deal and he recommended avoiding the owner financing.  He said if they die and a relative takes over the note they could possibly call it due and we could be stuck in a pinch.  We are working with a commercial lender for other possible deals but I feel like the owner financing will be easier to work with and have more favorable terms - fixed rate for life of loan and no balloon.

Any feedback is welcome, thank you!