I suggest you keep it only if you *want* to do so, and if you're prepared to acknowledge that your motivation isn't purely financial.Best of luck, and condolences on your father's passing.

BUT from a pure financial perspective, below would be my considerations based on the numbers above.~ You will initially get $500 cash flow, but you can (and WILL) increase your rent over time. ~ You will get a nice tax deduction to write off the depreciation on the asset over 27.5 years. ~ Meanwhile the interest you pay on the second mortgage will continue to be a tax deduction as it is now.~ You will get to write off the interest and insurance etc. you pay on the rental building, (which you are not counting in your cash flow but will be the largest part of your payment for years to come.~ While appreciation should not be your main goal, it is cash flowing positively so you can afford to wait around and see if it does appreciate giving you a possible additional exit strategy in the future.~ The rent income will could towards your PITI vs. income ratio next year making it easier to get mortgages etc.~ Finally, if that second mortgage *really* bothers you on an emotional level you can use part of the cash flow coming out of the new property to get rid of that debt sooner.:)

Perry) twisted that for pure political shock effect!

If you have college students that are in college for purely social reasons, I think you are going to have some problems.

Is it purely market driven?

Thats purely for a showing purpose and to cut down on time not to hook line and sink them right then and there. 

I would be a very hesitant to buy a home in Seattle based purely on the numbers that you can make off a short term vacation rental.  

I'm sure when looking to rent out a property you always run the risk of no one biting but what are some things to look for purely based on location of the property?

As a purely practical matter, I don't know where some of the people posting live, but even in rural NH, the police aren't going to exactly drop everything they are doing to investigate a report of someone using drugs in their home.  

There seem to be a lot of investors in LA and San Diego who buy purely for capital appreciation these days.