Despite concerns over store closures, demand for retail space surged in the second quarter of 2024.

I am not a financial advisor and not giving financial advice.Reading through your post, your concern is risk management versus paying down debt, which might be a solution.1.  

What's more, you're a beginner and expect a private lender to lend you the down payment and closing costs, so you can get a loan to finance the rest?

I’m concerned that holding this note may prevent me from closing on future deals due to DTI ratio.

Future risk is always a concern however never a value in an appraisal.  

If you have concerns, don't buy. 

Really just looking for like minded people who aren't into gate keeping and don't mind lending a helping hand to a total beginner!

I am contacting you to formally request validation of the alleged debt concerning this account and to inform you that I hereby dispute the validity of this debt.

Generally speaking, I have not seen underwriters look too deep into occupancy concerns related to second home vs investment property since Fannie/Freddie installed new LLPAs a couple years ago that make the pricing for each aligned in most cases.

Fairmount is a newer entity which is a little concerning.