It's a long term investment, not a quick ROI.

I live in New Jersey and would like to make this a medium term rental.

Contrary to multiple letter writing campaigns and already being historically the 4th highest state an overall tax burden according to the Tax Foundation, Vermont‘s legislature has apparently just increased the state M&R tax to 12% which appears to bump it up to the 4th most taxed state in the country for short term rentals, according to the National Conference of State Legislatures: 1.

The Programs includes or covers:- Up to $2.5B in second loan purchases- A maximum programs duration of 18 months- A maximum loan amount of $78,277- A minimum seasoning requirement on the first mortgage of 24 months- Only for Primary ResidencesThe effect of a guaranteed government backed second mortgage for homeowners would be significant and likely put eligible second mortgage terms in line with below market FHA and guaranteed first position mortgage rates. 

Offer the seller a first lien on your town house of say $300k, and a short term first lien on his house of $300k.  

Personally, I love Sherwood Forest for long term rentals, but there are tons of other great neighborhoods to invest in. 

I have 2 rental properties.The First is in Crestview FL with a long-term military tenant.Cashflows ~ $800 monthly.Mortgage is $180k.

My understanding in Maryland the seller provides the buyer with a copy of the COA papers at least 21 days prior to settlement and you have up to 7 days to review and pull out of the contract if you don't agree to the terms.  

Also  beware that  paying a large loan fee  may affect the lenders  ability to do the loan.I got cashGeoffrey -  awesome ...having  cash makes  negotiating way easier ...fyi -  in the  future - if you need to get a loan in the  name of your LLC as compared to a loan in your own names - the terms on the financing will be higher . 

I regret every property I sold 10 years ago (except the ones in the hood, that was a short term experiment I am glad I got out off).Your total net worth contribution is a lot higher than 0.6%, just the paydown of your loan is double digit ROI.