It really depends on your tolerance for risk and how much liquidity you want to maintain.Researching the Waterbury Market:Waterbury has shown solid potential for multi-family investments.

I have a hard money lender at 10%, who will amortize at 30 years, with 5 year balloon so a potential loan of $200k is in the works.

You’re absolutely right about the market potentially shifting, and this is where those who are ready to act and think creatively win big.

Its not easy and there is potential for multiple degrees of chaos and instability.

What tools can we use to analyze the rental potential in other neighborhoods?

Then it could potentially be legal depending on how it's worded.

Cities like these offer untapped potential without the intense competition found in larger metros.3.

Post on local Facebook pages for contractor referrals, go to local REIAs, and ask your potential agents and PMs (even if not using a PM at first...you may at some point).There is only so much that service providers can do and many of them are far from "experts"; so, be prepared to be your own expert at being willing to figure stuff out as you move forward.

The renovation aimed to modernize the property, enhance its appeal to potential tenants, and maximize its long-term value.

Purchasing a STR in a somewhat sketch area is a terrible idea and as others have mentioned, is going to open you up to potential issues.