The buyer approached me about refinancing and I wanted to look at this as an opportunity to restructure the deal to make it more attractive if I want to one day sell the note.The owner doesn’t have good credit, and I know that’s a big factor in how attractive the note can be in resale, but what other items can I incorporate into a new contract to make it attractive?  

@Santi Anso is correct in general terms but the STR and Student Rental combo isn’t as attractive as once was.

I personally love this type of rental because the property is kept clean and if described right, you will attract the right people.

Most of my net worth is on paper in the form of equity in my startup, so having some tangible assets that are generating real cash is attractive to me.

Bad areas will generally attract high maintenance tenants.

Concern: I can’t decide if being near commercial area is good or bad and I’m concerned that the dumpy area nearby will attract similar renters?

The only other option you could employ on an open market transaction would be hard money, but as an owner occupied property, the LTV would have to be attractive enough for them to want to do it and you they may have issues giving hard money on an owner occupied transaction.No lender is going to pay for repairs prior to close.

This is the attraction of MF, the income typically goes up disproportionally to the purchase price.

@Nic Stergion telling the truth takes skill and does not attract enough prospects.

;-)There is ALSO a possibility that your properties are 'hood' class, D/F and the type of tenant that can be attracted is the one month and 'done' type.