I believe short term rental revenue would not be considered passive income.

Offering current tenants a better rate for a year is a thoughtful approach that may encourage them to stay while still allowing you to increase your overall revenue.

Granted as we built up momentum we could probably get it up to 60% (that's what my agent says he gets) or perhaps get some MTR revenue working with insurance agencies. 

Our house has only received 5* reviews, and I interestingly, it rents fairly strongly in the fall and spring, but the summer weeks are the ones we have to book from a revenue perspective. 

So I wanted to ask: has STR revenue decreased as bad as it looks, particularly in 2023?

. - Short-Term Rental (STR) License - Littleton CO - The shorter the stay, normally the higher the revenue but also higher work with turnover, etc.You'll also want to check zoning laws to see if you can legally have it be a duplex if you move out. 

Have a few turnkey BnB properties I'm evaluating but not sure how to assess flowing revenue streams.

If STR regulations come to the area, my plan is to do MTR and while it is not as much revenue as STR, I should be able to generate a decent return over a 5 year minimum hold. 

You will have to drive revenue.  

This is data from 2022 for Fort Walton beach so this is not a reliable source for revenue projections on 30A.