i was exploring and saw some of the neighborhoods in kyle, Tx has school ratings like 8 and brand new houses in the range of 300K with potential rents at $2200 per month so overall making them cash flow positive. however, i am not sure why Kyle is a popular place. it is mid way between austin and san antonio but that does not seem to be a strong enough reason. 

This would set a very bad president of placing a tenant in a position of being fully responsible for your property.

Hi @Shawn Good my wife and I are in a similar position and would like to buy a STR in the fox lake area that we could also have for personal use as well.

There is actual potential to scale and develop a market position that beats stick built in modular, in my opinion this doesn't exist with container builds.

Yes, being in a second position is generally considered higher risk because the first mortgage takes priority if the borrower defaults.

Many, including Scott Trench believe rent vs mortgage payments won't rebalance out for another 12-15 years (based on the last podcast they did...so agents and broker amigos and amigas, don't yell at me, I"m not the only one saying this), so let me ask you this, do you want to live in a house hacking prison for the next 15 years in order to boost your equity position on your way to financial freedom?

Hey @Christopher WissingOut-of-state investing makes sense if you're looking for positive cash flow and your market has appreciated to the point that it no longer does that.  

Look at this as a positive because maybe its highlighting your lack of preparedness to manage the property yourself.

Positive?

This creates two loan payments ($100,000 of equity and $300,000 on the new mortgage).Key NumbersHome Equity Loan Interest Rate: 6%Mortgage Interest Rate: 7%Rental Income: $3,000 per monthExpenses (management, taxes, insurance, maintenance): $800 per monthIncome and ExpensesMonthly Rental Income: $3,000Monthly Expenses: $800Monthly Mortgage Payment: $2,000ExplanationThe investor earns $3,000 in rent each month.They pay $2,000 on the investment property mortgage and $800 on other expenses.This leaves $200 profit each month or $2,400 per year.However, you have to pay $6,000 interest on the equity borrowed.This leaves you with an annual loss of $3,600.This example shows that while the rental property generates positive monthly income, the interest cost of borrowing the initial $100,000 results in an overall annual loss.