According to NYC, STR is hurting housing affordability just like normal people can buy a house or condo near the Time Square and Madison Garden. 

People start moving in with their TOH homes (back in the day when everyone could afford one) and the park starts to fill up. 

I had holes in my shoes but came to not mind it because I couldn’t afford to buy new ones.One day I wanted to go watch a movie.

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. 

Indeed, non-EU purchasers only represent a few percent of the houses bought in the country and the properties they generally buy are not affordable properties so that tax wouldn't solve anything and would bring less capital and less jobs to Spain.

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.

Given your goals, Indy could be a great fit—affordable pricing, solid appreciation, and strong Section 8 demand with reliable property management options.

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.

(Ironically, I'm sure a good portion of the people arguing against development are also upset with the government for not tackling the affordable housing issue.)If I were WIP and felt I just got cheated out of my right to develop that land, I would have put a fence around it.