They want to send me to the commercial loan department where the rates are awful, closing costs are high, and the requirements much more robust.What if I just get a second-home construction to permanent loan, wait 12-16 months for it to be built, spend another 90-120 days furnishing it, and then refinance into a traditional 30 year fixed as an investment property?

If everybody's comfortable staying put for the next five years, you're good.This remind me of another factor you'll have to keep in mind: Ellis Act evictions require 120 days' notice.

It will require you to stay on top of this to challenge their refund request - else, the "system" will aloow it to happen.

But assuming I feel extremely confident in the proforma numbers, does the structure seem fair for the risk and requirements from each party?

If you ask the manager to justify a fee and he starts hemming and hawing, move on or require them to remove the fee.

Q1) Is there a minimum interest rate requirement?

They still are required to deposit one month's rent to the court within 5 days and continue to pay rent to the court monthly. 

They are also up to building code and won't require major maintenance for a while**Cons:**1.

Consequently, sellers often overestimate their property's value, failing to recognize its actual performance.Moreover, if the property requires significant repairs such as foundation work or a new roof, it may not qualify for long-term financing.

So, many landlords go MTM with these types of tenants to make it easier to get rid of them.State & local laws also come into play with their Notice and evictio requirements.