A "rising tide lifts all boats" -- including the interest rate boat.

Good to have an experienced real estate attorney prepare your operating agreement, they will guide you through all the good, bad and ugly that can arise during the operating of the property. 

So do your best to honor this but if there are situations arise in your life that prevent you from living in the house, that's okay too.

Is it worth paying a property management company for more the emergent issues that arise with guests including plumbing, heating/air, and tech issues?!

Yes - its perfectly common and normal, especially in a rising rate market like this where instead of really jacking up rates, lenders will compensate by allowing you to pay more in origination fee (points) so the property will cash flow and still make sense for both parties

I don't know if we are over thinking it at all or if there are issues that may arise.

They moved their cash to landlord-friendly markets such as Florida, although they still live in NY.You can manage the property remotely without having to be there every time an issue arises.

Problems will arise.

I have pretty good equity in the house and I know if I all out I will come out ahead, but I just feel renting is the smarter financial decision at this point in time, especially with what I perceive as a rising market in WF.

Now, I have not paid the premium yet, because I've heard stories of title issues arising and it ends up that the bank did not foreclose properly, and the the entire process has to be re-done.I've called and left messages for the broker, but they have not been returned.