​Take A Closing Cost Credit?

[Art Maydan]

I'm making an offer on a 10% cap 4-flat to house hack with FHA. It's $318,000 or $325,000 with a $7,000 closing cost credit. I have the cash for the down payment at $318,000.

On one hand, I’d have more cash to get a head start on my next investment and more cash for emergencies. On the other, I want to maximize cash flow. I’m leaning toward taking the credit so I can lever up while keeping more cash for safety (this purchase is cutting it close).

Are there tax implications I’m missing? It would be beneficial to depreciate a larger amount, right? Could that outweigh the increase in mortgage payment?

Would you take the credit? What do you guys think?