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. 

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. 

After switching hands a few times over the years, the house at 2830 Park Street was purchased by the Florida Cabinet using what’s called the Internal Improvement Trust Fund.In 1982 the state Department of Corrections took control of the house and used it for what’s called a Women’s Adjustment Center — a sort of halfway house for female inmates with short sentences.Now, a Department of Environmental Protection spokesman said his agency is in charge of selling it off, along with other excess state properties.

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.