@Mike H.The bank will say no now and then give you a 600k loan after you stabilize.  

With the cash flow number and the potential equity gain every year you can calculate your estimated return on equity - my hunch is that with $500k in equity it will not be great return.Another thing to keep in mind is that if you have lived in the current house for at least 2 of the last 5 years and it has appreciated a lot while you have owned it then you can sell with little to no capital gains (there is a limit that you may be pushing with that much equity).For those reasons I would probably consider options that involve selling.

Matthew, if you’re considering investing in syndications, just be sure you really understand the risk involved. 

Rent by the room gives you the opportunity to get more renters to cover the mortgage, making it easier to stabilize the asset.

To answer your question, You would need to get an attorney involved and just issue a mortgage and note along with having a will that your daughter would inherit this.

After stabilizing the property and confirming its strong rental performance, I refinanced it into a long-term loan.

With short term rentals, you tend to take a larger cut as there are many things involved in the day to day upkeep, think 12-25%.

Reassuring long-standing tenants that they are valued and included in the long-term vision helps build trust and ensures stability.

Reassuring long-standing tenants that they are valued and included in the long-term vision helps build trust and ensures stability.

Reassuring long-standing tenants that they are valued and included in the long-term vision helps build trust and ensures stability.