If not, I keep it and find another tenant.But our market is very hot and I would probably not even hold a unit for 12/1, let alone 1/1. 

On the other hand, this is legal.Borrowing against your personal residence, where the use of the money is to start a business, is not a consumer loan (i.e. not for personal, family, or household use); it's a business purpose loan.

They verify smoke detectors, GFCI's, hot water, heat and overall condition of the property. 

Market has been proved that private showing session of this house attracted at least 60+ different buyers, very hot market, so selling should be easy.8.

Now is that total household income or or just personal income?

Houston market is really hot right now.  

Annual household income would be around 150k.

Having two little ones at home can cause plenty of household stress for both of you.

http://money.cnn.com/2015/01/08/real_estate/oregon-moving/index.htmlWith all the talk of other markets little ole ORegon is red hot but it gets little investor attention maybe investors will want to get in before the word is out.. and don't have to compete in over heated or publicized markets...

However, if we talk in general and we are talking not about hot markets like New York, California and Florida the Cap rate is 10