If you do not get that tax credit its usually not profitable. 

You can use this property to hedge any others that you add that may only cover themselves, or require supplement until they are paid off.HOWEVER, if you have decided that your goal is to use Real Estate as a stepping stone to build wealth by upgrading the property you hold each time (condo to house, house to 4-plex, 4-plex to 8 unit, etc) then I think you are right to sell now while you think the property is at the top of it's appreciation.It will be hard for anyone on BP to tell you what to do as we don't know your goal.You are right. 

Fannie/Freddie (Conventional) loans aren't just about rate and transfer taxes. 

(Many people just assume it'll be fully tax-free because they lived in it somewhere)

I thought you were building to sell.

Giving up $100k+,in tax free income.

That's the other challenge that i've learned, with only one month as SD, if the tenant leaves even in a relatively new build the fees add up. 

Quote from @Kevin Cole: @Andrew BoscoI would like real estate to be a part of my wealth building strategy.

The accounting class will help you keep your books in order and understand your taxes.

It is tax free in the sense that you will not owe taxes today on the cash-out.