There are people still moving to TN, which will continue to push pricing up, and while most of the country has seen rents either flatten or go down, most of these markets have done pretty good.Problem is in the short term it may  cause an affordability problem, especially in the smaller markets that don't have enough building.

@Daniel Purcell I have a 3-plex uptown that is zoned HU-MU my understanding is that I can rent 1 out through short term rentals even without a Homestead excemption.

Perform a credit and background check?

I've thought of many different angels, but still not sure why this project was special/different or offering different terms.   

Those present two very different levels of risk.You should also consider how long ago the offense occurred and what the individual has done since then.

I currently have 20+ units that serve short-term, mid-term, and long-term rentals.

I've been flipping for a very long time. 

On a short term hard money loan yes. 65% CLTV max 

What are your long-term goals?

Long term hold with plans to force value by adding egress window/exits in basement to increase property from 2 bed / 1.5 bath to a 3 bed / 1.5 bath on each side and increase overall value.