Live in my property or rent out

Hi all, this has probably been covered by my circumstances are a little different.
I have two investment properties currently being rented out to tenants.
Currently looking for a place to live I have been weighing up 2 options
1) Live in one of those properties
2) Rent out and live in another property.
*(buying a 3rd property to live in is not currently an option which i am exploring as I am on a contract job)
Currently both properties are getting $430 rent a week (minus agent mgmt fees, costs etc)

I have been reviewing reasons for an against
For Option 1 )
-If I live in one of the properties I won't have to pay an agent mgmt fees
-I won't have to pay a rental bond upfront
- However I will be losing the $430 rent (which is about $380-390 after fees/costs)
- I wont be able to claim a tax deduction on the interest paid on the loan
- Full flexibility in my own home
- Can rent out a room, or space

For Option 2)
- I can save by find a rental equal to or less than $380-390
- I keep the full tax deduction on the interest paid on the loan of the 2nd investment property
-Less flexibility, landlord may not renew my rental lease, or may increase the rate
- Costs associated with having to move in and out of rental properties

Would be interested to know your thoughts and anything I have missed out

 

Being contracted is treated differently by lender to lender and if rolling from contract to contract some lenders treat this the same as being full time employed.
Don't discount an option based on assumptions, best speak to a good mortgage broker to confirm if option 3 is do-able or not.

 

Appreciate the response, my contract is running out in about a month and havn't got anything to go to as yet. Which is probably why it's not an option, but if i do get permanent work then yes it does become a better option than the other 2

 

just to add to that, that's why living in one of my investment properties does give me that flexibility, if i find more permanent work then i have more time to find/buy a 3rd property...if i was renting out then i would be stuck in a lease and less flexibile

 

How long in between contracts typically?
They don't need to immediately proceed each other, although they typically need to be within 3 months of one ending and another beginning.

 

Yes sometimes it can be as long as 3 months as was the case after covid hit