My specialty as an example is working with investors looking to build portfolios of Short Term Rental/ luxury vacation properties all across the US.  90% of my clients use the 10% down second home occupancy loan.  

I will be furnishing one side for now and leasing to a mid term rental until i get a property management company that will work the property or get it leased out to students What was the outcome?

The terms remain the same, we still pay the monthly mortgage payment.

Selling for $380k means an $80k taxable gain at long-term capital gains rates (0%, 15%, or 20%, depending on income).The $80k HELOC used for personal debts doesn’t affect your taxes.A 1031 exchange could defer taxes, but you’d need to reinvest in another investment property, not a home for your mom.

The tenant wants to stay another 2 years.My other adult properties have often had long-term tenants.

Frankly I’m not sure how profitable they are long term.

If this were my property, I’d run a detailed rental analysis (from what I’ve read in Forbes) to see if the short term route could outpace traditional leasing.

We have been in real estate (long-term rentals) for over 20 years now and looking forward to hanging up the maintenance hat.

For property owners in this area, what have you seen in terms of supply and demand. 

BRRRR all comes down to finding the right distressed properties at the right price, then identifying the right long term financing.