From what I gather, the odds are not good that the local economy will rebound any time soon. 

Pretty sure I found the development you weee taking about and at least personally there’s no way I’d spend 800k there, I’m of the belief that as dc loses population to the suburbs you are going to see areas crash and burn and other rebound for the last decade dc was hot so a rising tide lifted all boats, that’s over, there are areas I think have amazing opportunities right now and others I think are still over valued, the areas I see the most “value” in right are probably Brentwood, Michigan/North Michigan park, Riggs park, Woodridge, Takoma.

The housing that was formerly affordable was just a placeholder between a community decline and rebound.

I’m hoping my STR here will rebound as well as yours.

Prices are rebounding and have increased by 10% since January.Sales - List to Contract Days by MonthDemand is still strong and the times properties are on the market are declining. 45 days is average under normal conditions.

So the cash I used for the house missed the stock market crash and the subsequent rebound.

Reasons (IMO): 1) Too many people got into the market during the period 2019 - 2022, some because of Covid, most not (IMO), 2) STR was more popular during Covid, 3) STR was a very 'in thing', everyone just had to stay at an STR...that has ended.4) The economy is in a slump, big-time....inflation, recession, stagflation, uncertainty abounds....Question is - will the STR market rebound?

But you have to be careful which neighborhood in Tannersville you look at; some are distressed and haven't rebounded from the 2008 crash yet (if you can believe that).

That said, I do think the shortage of quality LTRs in the Poconos makes it a good market to investigate for that, especially over the next few years as additional resorts come online in the area, and the existing ones rebound post-Covid. 

Alas, I sold our parcels in Dillon and Marion (northern SC inner coastal counties) but am keeping an eye on stump price market thinking that someday it may rebound.