The only issues that can come up with the appraisal is if the appraisers determines something in the property is not safe, or needs to be repairs making the appraisal "subject-to" certain repairs. 2.

Treat the customer with respect, provide safe and desirable products,   purchased at the right price and condition, provide quality management  and anyone can be successful no matter what the product or market.  

Do you really want to play it safe your entire life?

I'm definitely the "play it safe" type, which is why the buy-and-hold strategy appeals to me, and because this is all new to me I want to "start off slow", but I am open to hearing thoughts on other options I could consider as well.Put simply, if you were in my shoes, what would you do with that capital and now with one property under your name (if buy-and-hold is the most appealing strategy to you)?

Its an imperfect system, be as safe as you can.

These tenants are so big that obviously you aren't going to get a personal guarantee out of them, but they're also such a safe bet that it's not seen as a big deal.In the smaller range of 3-5 year leases and small businesses, you don't see a lot of NNN, and you see more personal guarantees for the first term of the lease.

The yield curve is heading upwards, which they'll feel safe to go "hide" their cash in the right assets like real estate. 100% the case.

The reasons are obvious - their main purpose is to justify the loan amount and make the lender feel safe.

They are more common in college towns I don't think you are in one, also with a duplex you shouldn't run into that or boarding house regulations but better safe if you are building something. 

To be safe, if you build a closet in the room in question,  you won't ever have to explain to your appraiser, and to every potential tenant walking through your property why one of your "bedrooms" doesn't have a closet!