I would also point out, he probably doesn't need 5 years to be able to refinance, why isn't that a shorter time like 12 months?  

You would probably have to get a commercial loan, with the associated slightly higher rate, shorter term and increased insurance costs.  

If they were paying you double rent, that would be one thing, but they aren't.Unless you are having a really hard time renting it, i'd say you don't accept anything shorter than a 1 year lease and hope that makes them move on.

So, if my investment strategy is to "buy and hold" rental properties for capital preservation, hedge against inflation, tax advantages, passive income (positive cash flow), and the fact that it's a tangible asset and NOT in the shorter-term market where the flips/rehabs trade, then I don't need to worry about the ARV value? 

Although, a higher ROI should mean a shorter payback period. 

Maybe some of your 2nd's are a little higher or for shorter terms.  

Usually in  a market cycle, deflation is much shorter in duration than inflation.

with the loans there is usually a minimum amount you can borrow and is a fixed rate for set amount of time. usually with a HELOC more goes towards the principal because of its shorter loan span.

Abe from Los Angeles Hi Abe,You know there are 20 and 25 year mortgages right, with rates getting lower and lower as the loan term becomes shorter and shorter?

I'm willing to do shorter terms, interest only, higher rates, or whatever it takes to make deals happen this way.