Cost of securing the collateral is much more expensive here and foreclosures can be troublesome. 

In addition, I live with my parents so even househacking will still cost me over $400 a month, which is what I pay to stay with my parents. 

Take into consideration all closing cost, realtor fees, repairs etc.

And  if we did a 1031 exchange later, I think I'm correct that having this cost basis established at today's market value vs 2001's cost + improvements would serve me better in the 1031.- The depreciation amount for my rental house would be maximized bc would be set at the selling price / current market value vs 2001 cost basis + improvements.

no financing costs whatsoever. 

Do you pay closing costs to them? 

Hi Jayson, In some cases it can be a great decision.Take a look at the cost of capital the HELOC or refinance is going to give you compared to what you are looking at now.Also look at the income generated/write offs/appreciation that a rental property is going to give you.If it is going to yield you positive results, I say go for it!

So yes, maintenance costs can be higher.Happy to answer any other questions you may have.

Otherwise they will continue to pay yearly taxes and maintenance costs, and not be able to foreclose the property as it will sit here leaking and falling apart and the mold continuing to spread.

(Want to be able to have option to legally pursue my costs)My questions:1.