If you are doing rentals, especially long term rentals, you are unlikely to be able to live off of those for a while if they have mortgages. 

Our first accepted offer was a 320 unit deal that we contracted, put up non-refundable (yeah, I know) earnest money, and thought we had our financing and money in place to do the deal.  2 weeks before closing a major (several million) partner pulled out leaving us short of the funds needed to close. 

The rules are pretty complicated and the only people who really know all the terms and rules thoroughly are the Rent Levelling Board.Caveating that I’m not an attorney so go seek your own advice but I clarified a few things at a recent rent levelling hearing (which are open to the public and you can find the schedules with a simple Google).

These loans are short-term as you mentioned, typically 12 months, so you'll need to refinance before that balloon comes due.

The terms remain the same, we still pay the monthly mortgage payment.

Think of it as s long term investment that will save you headaches down the road. 

@Heather Bailey When house hacking with a separate rental unit, ensure proper insurance by obtaining landlord or short-term rental coverage tailored for Airbnb activities, in addition to your primary residence policy.

But. that short of a hold period would be suspect by itself if ever audited.  

@Nick Rivers, where do you feel you are coming up short?  

This type of short-term loan can provide the funds needed to renovate the property.