My out-of-state clients love it here because you can still find cash flowing deals hitting the 1% rule with lots of appreciation potential.

My main question is whether it makes more sense to go the seller financing route and pay off the principal in 8–10 years or stick with a standard 30-year loan.My thinking is that the tax deductions from a mortgage wouldn’t outweigh the potential equity I could gain over those 8–10 years.

One of my connections will fund the rehab for less and give it all to us on the upfront to finish the project at a lower cost.

You can usually get a lender to go 85% of cost or 70% of the As Completed Value for such a project.

Do they value nicer finishes and design or is that additional cost lost on the typical tenant in that pocket?

Be sure to actually contact the landlord for verification—fake references are more common than you’d think.In-Person Meeting: Meeting potential roommates in person is a great way to get a feel for compatibility.

A lot of qualifying questions for any potential tenant.Having said the above, I ask for some "standard" things, such as the names of everyone who'll be living at the unit.

I completely agree with @Ashish Acharya's points about the cost-effectiveness of a HELOC and the potential credit implications if it’s secured by your primary residence.

In the near future, we’ll be visiting The Shoals area in northern Alabama, where we’re considering a potential move this spring.

If operating costs increase, then customers/tenants will eat the costs in tight markets.