You wouldn't want to pop a 2% balloon unless you sold the property, but make sure you write it as assumable so you can sell it.  

It's a small place so I'd guess it won't rent for enough to cover your expenses anyway so I'd probably sell, especially if the loss is small, it unless it's in a great neighborhood that you think will do well over time. 

Beyond carefully vetting the tenants, how can an investor protect themselves from squatters if we want to sell years down the road?

I feel this gives me the flexibility to find the right solution for my client and not just sell what my bank offers.

They sell chemicals at the local Home Depot that gets that stuff off.

A few that sell and manage, or know management companies.  

The loan is short term, for 12-24 months and you will be expected to sell, refinance, or pay the balance in full at the end of the term.

But seems tricky as none of the builders are willing to sell to investors in and around Columbus region ?

Operating in the Luxury SpaceWe focus on properties in the $1.4 million to $1.9 million purchase price range, which allows us to sell finished projects in the $2.5 million to $3 million range.

@William Taylor so many options...Use your RE knowledge to: WholesaleFind rental deals to sell to investors locally or here on BPStart leveraging your personal contacts to build your sales businessFind a motivated seller willing to do seller financing:- Move in worst room or basement, rent out all the other rooms for max cashflow- You could even live in the basement and STR the rest of the house