It was purchased from MLS as a long term buy and hold rental.

And if it's a high amount, would you be better off just using that as a downpayment and get a standard new investment loan?

@Richa Wardhan every investor has to find their own answer to your basic question - focus on portfolio growth or paying off what you have.Portfolio Growth leverages your money using loans and tenants paying off these loans.

"District South was financed with a fixed interest rate construction loan from our partners at First Financial Bank NA.

Of the many strategies I've looked into, House-hacking and short-term rentals piqued my interests. 

I also require additional security deposit and sometimes a guarantor if they were approved in this manner.I also agree that this situation sounds like a pattern not a one-time mistake or short term tough situation that caused this.  

The fact that you have already owned and sold a rental property gives you a great experience to start from.In terms of the best place to invest - that is whatever place meets your criteria, goals and investing style.Personally flips have not been working as well for me lately, but when we get the right BRRRR deal those are still working well.

Either they overpay or don't negotiate the right terms, or miss something major. 

This creates a market for both short-term and long-term rental properties.Affordable housing, Compared to cities like New York, Washington D.C., or Boston, Philadelphia offers relatively affordable rent, or section 8 tenants, especially those who are relocating from more expensive areas. 

We have a home that we are almost done remodeling that we would like to try the mid term strategy to increase our cash flow vs long term.