In many cities, VRs are new terrain so lenders are (rightfully) hesitant given rental rate volatility, occupancy volatility, & legal volatility

Consider too: everybody wants to scale fast, fast, fast with maximum leverage, but STRs are more volatile than LTR (remember Covid?).

@Jovan Dinnall  jus wanted to add .. your not going to learn your market overnight .. it takes constant research.. you have to watch it everyday .. just like the stock market .. it is volatile.. it can go up and down so quick.. thats why you need to watch it everday if you seriously want to know what your target market is doing .. it doesnt take that long once you you have a system down.. 1 hr -2hrs a day .. sometimes i skip a day but not often .. what i like to do .. is tag a few properties i am interested in and act as if i was going to invest in them .. then i watch those ones carefully along with watching the overview of the area but , these ones i follow from listing or auction to purchase to rehab to relist to purchase .. i even try to visit these homes before the auction or as they are listed and if they are not quite investable ..ill still try to follow them and visit them after the rehab ..watch the listing orice and selling price .. i am not in the big city though so properties near me are fewer and further in between ..  

Try and find markets that aren't so volatile. 

It will trigger volatility in the STR market, making the targeted tax numbers even more speculative.  

A: Now that rates are 7%-8% (and going higher) High, double-digit Cashflow is harder to achieve within the first year until the property is fully stabilized. 3:B: 100% financing is Not a strategy for beginners in a correcting, volatile, trading downward market.

I reached out to a local STR property manager in lieu of high inflation, stock market volatility, and higher interest rates. 

.* Keep 6 mths of PITI on all properties in liquid reserves These rules of thumb will enable you to absorb some volatility in the performance of your property without going cash flow negative, as well as enabling you to sell the property reasonably quickly without having to come out of pocket to cover a shortfall.

However, the dreaded uncertainty of HOA fees and their volatile nature in the market scares me a bit.

While I am very eager to build my real estate portfolio and hit the goals I have set for myself, I just as eagerly need to stick true to my knowledge and recognize the risks/volatility involved in a non-stabilized property.