We do not run into any issues, but I would make sure your area doesn't have any restrictions on STRs! 

This is very limiting when buyer get multiple offers.I have the funds to buy with cash, but I am not sure how a DSCR or Cash out refi would work, and if it would limit my future funding to the point of being overly restrictive.

@V.G Jason Your characterization of me is odd, in that it’s entirely wrong.

What I can say is that the headlines about the difficult tenants and rent restrictions cause issues or a small fraction of property owners - but you'll never hear about the 99% of cases where tenants are paying on time and respect their landlords' properties. if I'm in your shoes, in terms of recommended criteria, I would opt for looking for strongly appreciating areas and not just monthly cashflow.

The specifics should be clearly outlined in the lease agreement.Documentation and Approval:Document the TI allowance in the lease agreement, specifying any conditions or restrictions.

It has proven a winner for us.. because our competition wont allow contingent sales so we snag some of those playing the odds..

Some cities require permits and have other restrictions, etc.   

Restrict to secondary family rooms etc.At least you can keep things narrowed down to assure less wear and tear on the whole place.

Your odds of having to pay them back for a repair that didn’t work isn’t 100%.

The odd name of "Charley horse" was given to this affection years ago by Joe Quest.