Those properties are built to withstand hurricanes and honestly I'd rather be ocean front during a hurricane than in a lot of your average homes in coastal areas around here.

For a rental in my market that would be NEWER than average as most rentals were built 1890-1920.

The average monthly rent for ltr is $1650 and the monthly piti is $1770.

While there are certainly cases where they can make great money, in general your best recession-proof best is likely a more "average" home.

Plus these insurance rate averaged $6,000 /year, so $500 / month...

Carefully analyze if the potential rental income can support that level of financing costs and operating expenses.Get realistic projections on expected occupancy rates, average nightly rates, operating costs etc. from experienced short-term rental operators in that market.Calculate the debt service coverage ratio (DSCR) lenders will require based on the projected net operating income.

Hey BP,I am looking at 5-plex opportunity deal and was hoping for a little insight on cap rates there.The property located in 35204 zip code.Does anyone happen to know what average cap rates are at right now in that area?

Does anyone happen to know what average cap rates are at right now in that area?

If you want cashflow.. look for markets with low entry prices and higher rent averages.

Winters can be tough so we use airDNA to get a sense of the Average Daily rate and occupancy for the year.