For that as a quick comfort level I like 3 months of rent saved, but I do a detailed calc looking at building a fund for predicted replacements of things like roof, furnace, any other item over $500.

A specialist advised me to wait a bit because everyone is predicting a price drop. 

Since this is a smaller property we have the finances to just buy it ourselves, and the end-buyer suggested us doing owner-finance until she can get her credit right; she predicts 3-6 months.Curious of people's thoughts on these terms as we've never done an owner-finance before:15% downpayment12% interestballon payment due in 8 monthsInitially wanted to do 20% down but we met in the middle at 15% as she doesn't have enough for 20.

I wouldn't try to predict the best neighborhood.

We cant predict the future but I would never think it is wise to lose $1000 per month unless you are %100 sure the appreciation will outweigh the loss.

A sound person is not always predictable but we are playing a game of odds.Frank

I could also just sell it, and pay the tax, given some of the dire economic predictions under Trumps administration.I am leaning toward 1031 exchange, but not sure if this is the best option, any advice is greatly appreciated.  

But who knows. from what little I've learned it seems trying to predict the future is at best a risky strategy and at worst a terrible, terrible idea.

My ROI models hinge on appreciation here so that's a pretty big variable that's hard to predict!

There's no way to predict which way the market will go, so I am being very cautious and will not buy if the property doesn't cash flow.