That is, buy one home in city X (where I don't live), live in it a couple of months let it be an STR the rest of the time and then the next year (or in two years) repeat again in the same city. 

I've self-financed deals my deals, financed them with a HELOC and used third party lenders as well.

I also found that being at "market" rents it takes longer to rent therefore missing out on a month or two of income negating the ROI on improvements.

Many will also require a third party due diligence report from a company like Mick Law or factright (which they run around $30-$50k). 

For new builds, get a third party inspection.

I currently own and self-manage two STRs in Maine and should be closing on a small 'cabin campground' with 10 cabins nearby that will also be operated as STRs. 

He's had two successful flips so far and after this third one he's looking to pay off the HELOC and roll the profits into his future flips.

I bought My Third Property (remember, I already bought My Second Property a few months ago).

@Ben O'Neill I have a second, and for a short while a third loan on a property.

In those cases we may offer "one month free" but it will be the third month that is free.