I ended up with the goal of living in the area paying less than what I would pay for rent ($1700) while building equity on a property.

But then, as short-term rentals became ever more popular, Americans tourists started thinking wait a second "We're paying so much for staying for a week at that short-term rental.

The idea would be to sell the lots to pay down on the short term mortgage until the house got fixed entirely.

How much is he paying you monthly to use your land?

So, you PAY them EXTRA for that.

Even if its cutting the warranty off, sticking to manufacture warranties, and saving the cash to pay for expenses when they come up.

I recently read in a book that suggested I should open a dual checking and savings account, and take the security deposits from my future tenants and store them in the savings account, then use the checking to pay the mortgage or maintenance fees.

I would be willing to pay the gap as a down payment and assume the loan at 3.875%.2) I agree!

If I set aside $8500 for it, and in 10 years have to pay almost $11.5k, I will be short $3k. 

Many people focus on the “entitlement amount” but the more important number to pay attention to is the ‘county loan limit’.