I would recommend staying away from Hard Money at this point and using a renovation loan from a bank, then refinancing onto a permanent mortgage after you have BRR'd. 

Most responsible people will not want an eviction on their permanent record, but better safe than sorry. 

get your self  pre approved/  approved  ....if possible - try to  use a  min down  conventional loan and avoid the  FHA loan  as the  mortgage insurance  is high and  permanent with the FHA options 

Is this a permanent thing?

@Sahleem Lee in general, we use an "acquisition" style of loan to purchase, then we use a "permanent" style of loan when the rehab is done when we refinance. 

These were physical therapy interns for medical facilities or people moving into the area permanently. 

However this credit union is not willing to cash out any equity only offer me an equity line that can be converted to permanent financing. 

Any input on turning it into permanent rental upon deploying would also be appreciated.In doing some research, I came across the VA Rehab/Renovation loan.

I am also looking at hopefully qualifying for a rehab hard money to permanent loan that some lenders are offering now. 

Zahid,It's not about what you want to do it's about how STNL ( I think that is what you are referring to by investment grade tenant) underwrites a property.Interest only loans tend to be bridge debt for turning around problem properties and putting permanent debt on them.