The house is located in an area that suffered drastically from the market downfall - losing about 85% of it's value, but has now rebounded.  

Why lose sleep and be stressed out? 

In fact, I've had two previous tenants that came to me directly after losing their homes to foreclosure and I accepted both of them and never regretted it. 

Instead lose an able buyer because e-mailing people back takes too much time. 

For Loan Officers that like to work with investors, and not all do and not all are familiar with the basic calcs and how to properly do them, you will then have a strong player on your team that can deliver the kinds of refinances you will need on all your deals.Lastly, When considering a BRRRR you always want to have 2-3 exit options.

You wouldn’t want to risk losing a great tenant!

I want to use the equity in the rentals but banks don't seem to like that and I don't want to lose the property waiting for a second mortgage, having appraisals, etc.

Besides, I'll lose the tax write-off of mortgage interest.I can beat that over time in the stock market. 

Either way- if they lose a tenant or renew them, they get a nice chunk.

There are risks of course, largest one being that if you lose your job, the funds are due back within 60 days or it's a taxable event.