We may find a handful of deals this year. 

There’s a strong demand from investors who specifically seek Section 8 properties for their reliability, so it can make the listing more attractive to the right audience.That said, managing Section 8 properties isn’t completely hands-off.

If you just take the 13,835 financed at 6% you are adding 83 dollars a month. so a double whammy.Now, lets consider if rates drop to 5.5% in 24 months (not a prediction just a what if) and you could have refinanced at a much lower costs then the above scenario in what you paid in pre-paid and additional interest. on the other hand, if rates for your same scenario after your 5 year payback period is 9, then you will have an asset with a much lower then current market rent.  

I'd love to 1031 into an apartment building, commercial or something that is a little less hands on, but I have not seen anything that would make sense in my area. 

Presumably, if you retire before you take Social Security, you will have a handful of low income years when you could then do Partial Roth conversions and convert those assets you presumably saved at a 22% or higher tax rate, and convert them in a lower income situation (12% or less). 

The ability to settle with permits in hand reduces risk and is a far more efficient process.

@Jason Wray - I've only spoke with a handful of lenders, so far none have offered 10% down.

It’s like handing SFR investors a cheat code to multifamily.

Cash on hand: 8.

Unless you're handing down to family, maybe its a good time to sell.