The commercial loans don’t have as large of a secondary market for the banks to sell to so they want shorter paper.

I have talked to my friend and asked him how long he plans to stay there for, he is ok to start off with a 5 year lease with options for another 5 years, but mentioned that if possible, he would not mind consider a shorter lease as long as the price stay the same as the 5 year lease. 

I have talked to my friend and asked him how long he plans to stay there for, he is ok to start off with a 5 year lease with options for another 5 years, but mentioned that if possible, he would not mind consider a shorter lease as long as the price stay the same as the 5 year lease.

I have talked to my friend and asked him how long he plans to stay there for, he is ok to start off with a 5 year lease with options for another 5 years, but mentioned that if possible, he would not mind consider a shorter lease as long as the price stay the same as the 5 year lease.

@David Edwards IRR and time have an inverse relationship i.e. higher IRRs are usually associated with shorter time periods (all else being equal). 

They might be a little heavy on paperwork, but a simpler loan will have a higher rate, or a shorter period for you to pay the loan....so get all the information from the lenders and see who you like best. 

You could meet with the tenant and possibly work out a deal where they leave in short(er) order.

Rates are a bit higher (0.5-1.0%), amortization periods are shorter (20-25 years) and there is usually a balloon in 5-7 years.

Or should I try a shorter term plan like grouping up with some people to do a flip or attempt to wholesale a property?  

Shorter terms, adjustable and callable, waking you up from your nap to report your financials every year.