So if someone tells you, it does not matter about liens behind you - it does.There’s one more ; the borrower has increased debt service and when it either turns negative or leaves nothing “in their pocket” they may lose interest in the property, decide to stop paying all mortgages, and put whatever income they can into their pocket until they lose the property to foreclosure or one of the lenders obtains a court order prohibiting such.   

If you want to discuss more you can always send me a private message but so far I don't see any negatives with purchasing the multi-family.

.$10k STR rent on $1.3m property at 80% LTV  will be negative cash flow when properly allocating for all the expenses.  

Additionally, each deep clean after a mid-term stay costs around $300 or more, which almost negates the financial benefit of the mid-term rental model. 

I got a 2013 Toyota Corolla for $17k, so unfortunately, even if I trade it in I still have about $6-9k in negative equity on the car that I’ll still owe.

The bottom line assumes that your overall cash flow will go up from acquiring this new asset, which existing property, when you leverage will have the smallest negative impact on your overall cash flow. 

Also, be aware that if you are thinking of doing a BRRRR that maxing out your HELOC can have a negative impact on your credit score so when you go to do the refi you may potentially run into issues.

@Grace Hartman I don't mean this in a negative way but you're in this situation due to lack of experience, terribly high contractor quotes, or a combination.

Since you’re eligible for the capital gains exclusion, selling now would let you cash in on the $200K appreciation tax-free, avoid ongoing negative cash flow, and put the profits to work in cash-flowing investments closer to you.

From the homes we manage here in Central Florida any benefit of your utility bill is negated by the financing of the panels.