I have considered pulling all the equity out, refinancing the whole amount, about 64,000, giving me somewhere around 25,000 equity, and putting that towards my other ideas, but in the state of Texas you are not allowed to have Ag Exemptions when you cash out a refi, meaning I would have to cancel my ag exemptions on my acreage, which costs me thousands of dollars and raises my property taxes tremendously.

The bottom line is that if the tax exempt entity is engaging in a business in a manner that it is competing with tax-paying businesses, then UBIT applies. 

Does the property tax exemption in Texas for a disabled veteran apply to investment properties? 

And make sure you don't look at a tax bill with exemptions you not going to get.You'll also have utilities (for that period of vacancy), and maybe other administrative (like the cost for CPA related to your rental and lawyer for LLC) and incidentals.You should include property management too - 10%.

Alternatively, I would see if you could apply for a zoning exemption with the city to allow for two rentals.

>> Not really but there is a homestead tax exemption for retail buyers so yes taxes will be little higher for investors but you can easily calculate the taxes by going to countys website.

There are different types of exemptions groups operate under.  506(c) are allowed to publicly advertise the offering, but require all investors to be accredited.  506(b) offerings are very common, but harder to find, as the operator can not market the offering.  

Seeing as this was your primary residence, you may be exempt from capital gains taxes on the first $250,000 if you are single and $500,000 if married filing jointly.

@Angie Schwartz holding on to it as a rental for more than 3 years costs you the most meaningful tax break in investing…the homeowner exemption for capital gains.

(the property tax estimator page)- Enter the figure from #3 into "Enter the value of your property"- Choose an exemption if you're going to have one - in most cases, none