How are pure vacation rentals doing vs rentals in urban areas?  

@John Clark There is no logic or sense to it, just pure emotions by caving to the tenant advocacy groups.One note on your "increase rents" suggestion.

@Bill Exeter @Dave FosterSo I can use the $333K portion to buy an investment property like duplex, triplex etc purely for rental use right?

To do so, I can either:1) Pull it out prior to  purchase of the replacement property but lose an amount taxed as pure profit (20% times 80k) or2) Execute the next purchase, then refi pulling out 80k or more at the cost of refinancing.Is that about correct?

Not purely as an investment but also an exercise for my design and construction muscles.

Your "pure" cash flow, even your reserves if you wanted, could be in crypto which will leave it subject to market fluctuations. 

You can focus more on cash flow on pure rentals later in life, but early is the time to go for the capital gains.My advice is to house hack as many times as you can before you have kids.

Are (some) Lenders that desperate to find Borrowers, that they lend purely against your promise to pay back, even though you have no provable assets or income, and they'd have no way of tracking you down if/when your scheme/scam comes undone?

More when they went for outings.You're really talking about a business that has a real estate component, rather than a pure real estate investment.

This wasn't the only asinine statement on the inspection report, so my realtor pointed out to the buyer's realtor that this the inspection report was pure BS.