The cons as i see it include loosing the 2 of 5 year cap gain exception, typically not an ideal rental because the emphasis at purchase was buying a good home for your family and not a rental with optimal return (my ex-home consistently has the lowest cash flow for equity in my RE portfolio), not disconnected enough from the property causes addition angst on damage and may result in over improvement.  

During the renovation, I faced several challenges due to the home’s age and hidden damages, including ruptured plumbing, termite infestation, rotted wood, and lack of insulation.

I would at least recommend you have them shop a policy for you.One thing we did note is that with hail damage to roofs, they seem to be decreasing coverage/increasing deductibles on that if ever needed.

However, I definitely recommend pictures any time a guest left damage or extra cleaning that will result in additional charges.

So I saved you 5k and read my post above on why short-term rentals are a far better investment without the headaches of going to court to recoup damages or fight claims of being a slumlord (which by all accounts he is) 

Their behavior will not get better, the longer they stay the more damage they will do to your place and erode your rapport with your neighbors.

We were also able to recover $1,550 in liquidated damages from that resident which meant that you were not out of pocket at all for that property turn.

You may be profitable, but I'd prefer to avoid the possibility of having to do unnecessary repairs or not holding my tenants accountable for damage when I know their actions might have caused any unforeseen damage. 

--------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

If, any bad tenant could be evicted in a few days and held responsible for the damage they caused.