Unfortunately a lot of the decisions that are being made by PM are just not the right ones (costs of repairs, what to repair vs replace etc) so it ends up being me jumping in to manage them.

While a deposit is almost always preferable, you should make a common sense business decision based on the circumstances and condition of the property, in my opinion.

Once we take over the property, we were thinking of signing a 3 month lease with an increase in rent (still not market rent) and after 3 months will increase to market rent and have them make a decision if they would be willing to stay or not. 

But ultimately, balance what works best for your finances and your life goals.Good luck with your decision!

While the wealth of knowledge and experience on BiggerPockets is wide and deep, I would not trust a decision like this to the internet, I would ask you CPA and if you do not have one find one who specializes in this sort of thing.

I started vacation renting my home in 2010 back when no one knew what VRBO was or vacation rentals and it has been the best decision for me on so many levels. 

I think deciding between cash flow now vs long term equity growth that is typically safer, is a decision you'll need to think on before making a purchase. 

While it’s not Upstate NY, if you’re ever curious about diversifying or want to compare strategies, I’d be happy to chat.Best of luck with your decision, and feel free to reach out if you’d like to discuss further!

I would avoid investment decisions based on promo interest rates or builder incentives.  

In my case, on all of my properties, appreciation is the "steak and all of the sides" of my investments and the cash flow is the Merlot that goes with the meal.