Let the property sit empty until you are fully educated on the finances of income property investing or sell it and be free from th eresponsibilities of managining properties and tennats.It only come down to th enumbers, do not make any decissions until you know the market. keep in mind most homes make for very poor investment income properties and will be more of a financial burden than a benefit.In your position I would have it listed with a real estate agent and sell.

Didn't cross my mind until this morning that I remember something about a required ownership period of at least 91 days prior to selling or accepting a contract.

@Ibrahim Alanqar, the first thing that springs to my mind is: how will you find suitable deal/s for flipping, when you'd always be competing with cashed-up Investors/Flippers in the first place, who don't have to wait the length of time you would need to in order to close (and who therefore can get discounts easier than you, even though you'd need those same discounts), and who don't have to worry that the home may not pass the "habitable" test. 

I don’t mind the distance because the numbers make sense.

It helps to keep in mind the exclusivity test when you make purchases. 

They approach I really like is essentially becoming the "Digital Mayor of your Town and or City" as termed by Gary Vee.Now if you are not familiar with what that means I give you the run down What really traditional marketing would be is, *forgive me if I exaggerate a bit*,  just plastering yourself in everyone's mind as, that's Joe the real estate agent, he seems to be everywhere I go. 

If your loan is under 5% and investment is over 10%, there is a good spread there where you can make money.Paying off loans does provide piece of mind.

The fact that they would respond with anything other than "YES" or "BAFO because of multiple offers" is beyond me.You gave the seller an inch of rope and now they're trying to strangle you with the whole darn thing -- I would say you are comfortable with the offer you gave at the terms enclosed.The why is sort of irrelevant, they obviously have something in mind but if you put a property on the market and someone offers you more than asking, as my old English teacher would say, "shut up and take your apples."

Show us the numbers and you will get all the feed back you need to make a decision.Keep in mind SFHs are notoriously poor at producing positive cash flow.

You need to decide what criteria works for you and your situation- in my mind, that is the most critical factor for success.