I used to work for a large regional bank and I don’t recall us ever implementing this option.

I appreciate the insight based on your experience with them Nichole.  

The plan is to hold it long enough to see appreciation do it's thing AND in time we have the option to turn it into an entire house airbnb or even a long term rental for passiveness sake.

However, the current vacancy is hurting your cash flow, the paused refinance poses challenges, and ongoing capital expenditures can be significant.Short Term Rentals: These can generate higher monthly income and offer flexibility to adjust rental rates based on market demand.

I'm a boston-based investor,  looking to buy a multi-family unit and plan to use my residence unit as a STR. 

There's also an option for a 7-year term, but it comes with a higher interest rate.I have the flexibility to pay off the loan without penalty, which I plan to do after securing my next deal and cash-out refinancing this triplex.

If they complain, show them this part and ask them to recall discussing their responsibility during your onboarding conversation.The other option, you can choose not being a landlord if this is to much to handle. 

But based on the above feedback (especially regarding the purchase, rehab, refi and hold), I have some doubts. 

Based on my experience, this would have been a blessing.

Quote from @Mike Morgan: Multi-Family would be a good strategy and if you build the right team could be very lucrative  I’ve been focused primarily on single-family, but I will admit it’s not based on any specific research.