This makes it an essential tool in the capital structure, particularly in challenging financial circumstances.Overall, while both Mezzanine Debt and Preferred Equity have their unique benefits, the choice between them should be guided by the specific needs of the project and the financial goals of the investors.

However, if the seller is giving you a credit they might lend off the price net of that credit.As for the balloon payment that shouldn't be a problem if you sell the home, which I imagine is the end goal?

My goal would be to either refinance(if the rates drop) or to pay off the loan within 7 to 15 years.

(Note: right now I am not considering STRs).1/ Columbus, OH2/ Tulsa, OK3/ Huntsville, ALFor additional context, my main goal is to invest in a market that allows me to cash flow AND build appreciation over time.

My goal is to always help bigger pockets members save time and money.

Find what fits your desires, goals, or enjoyment levels and run with it.

HELOC, I always recommend starting with the goal in mind.  

If the goal is to work with a well-priced quality lender, narrow your search to DSCR lenders that have solid reviews and a track record of closing.

Make sure to dive deep with your lender on the analysis to ensure you make the right decision based on goals, short and long term. 

(I recall she said she has a Morrison address, but that doesn't mean she's in the city limits.)What's your goal?