Always weigh the pros and cons of each option based on your financial goals and circumstances.

Based on your description of the situation, you're not going to cashflow while you live there, but the question you should really ask is, will it cashflow after you move out? 

Sounds like prices vary based on each situation but I'm looking at $15k.  

(And it seems there's at least some chance it doesn't pass at all, based on the opposition they're setting.)

FYI we've changed our approach entirely and have lower fee initial entry points to avoid the challenges of long term project based arrangements so we can catch issues much sooner.

Demand for short-term rentals is based on emotions, the allure of this view or that amenity or this undefined "feel" or "design" of a place.I'd love a pamphlet that says simply, "Hot tubs increase gross annual revenue by $22,000."

@Yang Zeng Welcome to the Bigger Pockets.As you can see in my profile, my business and hub is in San Diego, not far from you, but all our investments for myself and my clients are in well performing markets in the Midwest.We specially in this out-of-state- approach that really requires more than just the properties.I agree that you should keep a reserve and not spend all your funds but I could help you with 6 properties that would pay you about $5K/ month in cash flow or $60K/year based on your available funds while having about $100K reserve.I like to help you see the performance difference between our area in CA and the Midwest.

Based on that math yes, you'd clear a couple hundred dollars after all debts and expenses, not the worst spot to be if you're not necessarily needing the cashflow/trying to live off of it, but instead are focusing on playing the long game. 

Echoing what @Rick Albert said, see what your market has, based on what you want to charge for future rents.  

Since you'll need to undo the recent renovations and don't want the furnishings, it makes sense to base your offer on the home's previous value.