Staging versus furnishing: students are hard in furniture.  

You could also get a line of credit for about $150k (you should be able to borrow 75% of the value.)The reason I suggest this is…1) you save $40-$60k in selling costs. 2) you have a lower blended interest rate (2/3rds at 3.25% and 1/3rd at 7 or 8% instead of the whole $500k at 7 or 8%) saving you another $1k/mo in interest. 3) you only pay interest on that $150k when you actually use it, not from day 1  Unless you hate this property, or want to buy something you can’t afford without selling, that would be my plan.

About me, most of my assets are RE but in another market so I would be diversifying in that market.Potential for appreciation is very uncertain: prices have risen a lot locally lately and are as high as they have ever been, and it’s unlikely higher prices would be affordable by locals.

Additionally, there’s always a risk that any pet-related damages could be hidden under furniture or otherwise concealed, potentially leaving us to cover the costs if the security deposit is fully depleted by other expenses (e.g., damages or unpaid rent).

I'd target areas near colleges or transit hubs for affordable properties, and I’d look into financing options like FHA loans or creative financing to make the most of my capital.

Housing has always been super affordable there, and new construction has increased in recent years.

I did that out of necessity with my first 2 houses and was able to buy in a nicer neighborhood than I could actually afford because they weren't updated. 

We weren't sophisticated enough to call it that, but we were both on board because I liked the potential upside and my wife loved the neighborhood (that we could not have afforded to get into unless we bought a dump of a house).

I'm looking to potentially do the same thing in Queens now where there are some more affordable mutlifamilies.

I get it starting out but there comes a time if you can afford it and it works free and clear is just a great place to be ..