With all that competition, do you think it is still worth trying to invest in STRs in the area? 

I suspect then that your giving a very competitive rate compared to other HML at that point ??

I recently saw a post from Anthony Walker asking experienced real estate professionals and those newer to the business about gaining a competitive advantage and it got me thinking about what competitive advantages a real estate private equity firm can attain in their business.

 the more competitive rates are  6.9% for 20% down owner occupied, 780 credit score. 7.45 and 1 point for a duplex seems pretty solid.

This can make it challenging to find competitive terms if you do not fit a certain credit box. 

These buyers will be active due to rates coming down. unfortunately however, the markets will still remain extremely competitive, still being a sellers market, as supply will simply not be where it needs to. 

The custom builders in the area are very competitive and are offering pretty inexpensive builds vs comps.If the lot was purchased recently for 20K and the turn-key cost to build is $200K, after I close on the house (bank said appraised value would be 220K), would a new buyer have problems with it getting appraised over $220K even with other comps selling for 300K+?

In my personal opinion, MF is so competitive and I have be focusing solely in hotels so I feel it is a strong asset class.  

Would have a great re-sale potential of about $1.5mm profit on $500k investment over 2 years Cash on Cash plus the rental during that period, plus I've analyzed the market, and it is a solid location with little potential competition that could build.The Country Subdivision has the greatest return with the least amount of input, but the housing market and thus lot sales are a little more questionable, although this is a great location. 

Conduct market research to determine competitive rental prices for each unit based on other split-unit rentals in the area.