Balloons decrease the duration for the paper and the risk for the lender.

If you plan to hold the project for a short duration or it is relatively liquid if you are up against a call provision the extra value from having no balloon is lower.

These are much more common among investors and, depending upon the seller, normally offer a bit more breathing room in terms of escrow duration and flexibility.

The cash flow stream is less subject to interest rate risk because the Macaulay (or other, more precise modified) duration is smaller and thus the instrument is less sensitive to rate changesIs that accurate?

In this process, the lender uses an index, and this adjustment varies based on the lender's policies such as the duration of a single adjustment or the amount.

I'm not a lawyer, but you might be able to stay for the duration of the lease, at least until the property is sold to someone who intends to live in it.

I’d probably buy a portfolio of these and keep the duration in the 1 to 2 year timeframe.

For the duration of the marketing period (60 days), mortgagees may only approve offers that will result in minimum net sale proceeds of 84% of the "as-is" appraised FMV."

Though again, I'd need to look at the duration of the contract.

You can also evaluate them at that time, even though you're stuck with them through the duration of their leases.