So, if the seller is unable to do it from their proceeds or something, then I would budget for that amount out of pocket if it is still a good deal at those terms? 

I co-own a short-term property management company.

Here would be the terms with the buyer:Sales Price: $315,000 (NOT worth this.

The long term play would be to pivot to MTR/LTF afterwards.

However, I will say, if it is a year payment, it is advisable to hold the year's rent in trust and pull the money out as each month's rent accrues, just in case there is a dispute during the term.

With your proposed seller finance terms, you'd see serious negative cash flow for years! 

Maybe they are making a bit more of the 10 year product, maybe they strongly believe that rates will be dropping and you will refi so the lower rate makes sense in the short term.

When analyzing a luxury short term rental (STR) vacation home for investment in today's mortgage rate environment, the ROI & margins can be extremely tight. 

If long-term appreciation is a part of your investment strategy then Columbus would be worth considering!

Jack, Thank you for your detailed and informative response.