I'm in a similar position in Utah, crazy market and my first rental exploded in equity and have also been thinking along similar lines on what to do next.

((head explodes)).  100% insane and infuriating, especially considering none of their FAQs or applications or anything say anything about this, just says "tenant must be a current resident". 

Now the market has exploded here though, and we can do better. 

The Austin growth continues to explode!!!

One month later the tenant called me after the heat exchanger cracked and exploded.

I know interest rates and super low inventory have a huge role to play in price increases at large, but these typically less active/appreciating markets are exploding at a much faster rate then everything else it seems.

Especially as we see a trend of more and more federal spending, the suburbs of DC will continue to explode in my opinion!

Personally I started with a SFH before my market just absolutely exploded and now I’m going to flip it for a 150% return in less than a year.

Here you go: https://www.nolo.com/legal-enc...This issue is traditionally a brain exploder. 

We've got some properties across DFW in our portfolio that cash flow decently, but the biggest benefit is that even if they aren't cash flowing $500/mo, they're still rapidly appreciating each year as the market continues to explode there.I think every market is going to have its inherent obstacles to overcome, and Texas has its unique way of gouging us with property taxes.