Going on the first face to face with a seller in years, even after getting 2 deals to the table, this one was tough.Stating the obvious, there is no replacing "the number" but I literally didn't have it in me to say it at that moment.

Using a 203k, you'll usually have quite a bit of equity that in 1-2 years you should be able to refi out of the FHA loan product into a conventional removing the MI associated with FHA loan products. 

Quote from @Matthew Becker: My goal is always cash flow the first year. 

I have two long-term tenants in the duplex—one for 5 years and the other for 7.

Nothing can guarantee that.Looking back over 30 years and hundreds of deals I can recall only two occasions when a greedy homeowner tried to bail on our deal. 

Over the years the only place I have lost money is the stock market.

Verifying last 2 years of rental history very important!

However, if you choose to stay there for a bit and sell you'll get the first $500K of profit tax-free if you've lived in it for at least 2 out of the 5 years prior to sale.

Whether it makes to sell the rental or keep it depends on your answers to these questions. the property is producing around $855 after property management fee, I have the same tenant for almost 3 years That's a little over $10k/year in cash flow, which is very strong yield for the price.

You will regret it in 10 years when the house has 300k in equity.Right now, the house probably does NOT have 190k in equity.