From my understanding the 15-18% IRR promoted by syndicators generally does not include these tax benefits either, so it is still a fair comparison.AssumptionsI had to make a few assumptions about the property and mortgage interest rate:Property value = $180,000Rent = $1680Mortgage Interest Rate = 6%I also made assumptions related to other costs such insurance, taxes, property management, maintenance, capital expenses and vacancy.

I would you to think long term as far as rent appreciation, insurance (which keeps ticking much higher each year), and property taxes (which may get reassessed when you purchase the property). 

It's critical to to get references and work with BB&B-accredited and fully insured companies when this amount of money is involved.

My insurance provider has given me a warning that this will change my insurance from a standard dwelling/fire to a surplus line, specific to undergrad tenants. 

Quote from @Zachary Engen: I just got 2 airbnb up and going last month and I have a property manager, he also gets MTR insurance bookings.

(average of $400/m) $7000 annual expenses roughly- insurance, septic Mgmt, lawn care, etc.

Holding onto it is a smart decision, and you're entering property investing in a solid position.To get started, focus on ensuring that the rental income will cover your mortgage, taxes, insurance, and any maintenance costs, leaving room for profit.

The rest of the cash is sitting in a Whole life insurance policy growing every day waiting for the next opportunity. 

Instead of using your personal income, employment history and DTI to qualify, a lender would look at the income or potential income of the property to make sure it cash flows after taxes and insurance are accounted for.

That's 5 months of profit gone just because the insurance company wants it done.