I preferred using Schedule C because of it but I understand why some people prefer using Schedule E from you guys' explanation.Self-employment tax is nothing compared to the deduction I can get for my case haha. 

Charleston RE market definitely not an easy market to start with compared to other markets I've been analyzing deals on.

Do one task at a time in each app so you can compare apples to apples.Load a property with pictures and details.Market that property.See what your marketing looks like from the public's perspective.Submit a fake application to see how easy the process is.

If it were me I would sell and deploy that capital elsewhere because your ROE is so low compared to buying somewhere with better available financing.

My suggestion would be buy one of each and see how both compare for you, in your market, and compared to your goals.

I consider Arecibo a place with higher crime and drug use and definitely not as much of an ex-pat presence when compared to cities 45 minutes west or less.

These houses have been on the market longer and compared to others, they seem overpriced. 

I would also add that private money is not as readily available compared to a hard money loan.

Most other states assess property taxes annually on the fair market value of the property whereas CA allows for this lower property tax payments compared to the FMV if the property has been held for a long time. 

I don't think it compares favorably to just hiring out the job when something breaks.