There are multiple implications- so it's best to work with a qualified professional to figure out what best meets your specific situation without unexpected consequences. 

Leveraging financing to acquire multiple properties is a smart move for long-term wealth building. 

If you are having a lot of interest and you are trying to avoid multiple showings that take up too much of your time.

Master negotiation skills, and always have multiple exit strategies.

There are multiple customizations for STR that could be made. 

I think the right investor would do 2 units long term one unit short term. this strategy allows you the greatest flexibility. we are also developing an extended stay hotel that's 58 rooms. the size of the average room in that is 216 square feet and rents for a target $80 per night. our development cost per room is 100k per room with hard construction. the smaller you go the more money you make. if I was to suggest anything it would be to focus on the smaller part of the market and on multiple unit dwellings and finding and identifying markets that meet similar numbers. that will probably be midwest markets.

We model deals for IRR and MOIC and like to see 17-25% IRR and a 2x multiple over 5 years. 

Quote from @Michael Baum: I am not sure I agree 100% with this @Erica Dike.There are a lot of overlap in all those demographics and if I can create a space for multiple demos, then that is what I will do.Our place fits will for most of these with the exception of luxury folks.

I'd recommend speaking with local specialists in your target market to look at multiple investment options side-to-side.Lastly, some of my clients have been encouraged to stay away from HELOCs unless they expect a lump sum (inheritance, sale of other asset, bonus, etc.) to pay off the HELOC in the next year or 2. 

Since then, we've analyzed at least 75 deals across multiple markets, developed our buy box, and choose a strategy that aligns with our goals.