We plan on having 4 units cash flowing and once paid off in 5 yrs we will use property equity to complete the remaining unit.

In terms of "best" measure of return my favorite is equity multiple as its very simple and straight forward. 

basic sub too.. deal as long as your personally well capitalized. this scenario probably works.its the undercapitalized buyer and the sterling credit seller that creates a huge risk for a seller and I don't recommend any seller to participate in that type of deal.but since the sellers credit is already bad there is real equity in the deal that will keep you in the deal and you sound like you have the wherewhithal to pull it off..

forcing equity or renting?

I'm investing across different states in a mix of debt/equity deals.

Thus, any rents you collect will have a positive cash flow which would only get better over time since you live in a pretty stable market.

I'm thinking this is a convenient way for the CU to limit their exposure, at my equity expense!

I have also heard when going to a local bank to get a portfolio loan you should have a business plan to show the lender and convince them that your investment will produce positive returns resulting in a low possibility of defaulting on the loan. 

.#2, to change your current position, you need to make your fist step forward, meaning, entering into the game#3, you have all the answers, you just need to listen to yourself.My name is Tomer, I'm investing in Tucson.I live in Israle, small country in the middel east.I operating in Tucson for the last 2 years, flipping houses and wholesaling, I'm not doing it by meself, I have an amazing partner that together we form a wining team. 

I applied a Home Equity Line of Credit with a Rental property I own free and clear.