.🔹 Maximizing Value – A distressed property isn’t just about fixing what’s broken; it’s about repositioning it for the best possible return.

This way, your current rental stays a cash-flowing asset while providing leverage to grow your portfolio.

High ceilings, quality built from the factory.

@Emily Gowen so as you pointed out you would not have to do a 1031 exchange on your current home to avoid the capital gains tax and coupled with what Dave Foster pointed out I think, speaking from experience you would have a high likelihood of success. 

A lot of the beach rentals down there are pretty outdated and don't provide many amenities.

Examples:44109 (median home price went from roughly 50k to 125k in 8 years)https://www.zillow.com/home-values/77009/cleveland-oh-44109/ 44102 (median home price went from roughly 30k to 120k in 8 years)https://www.zillow.com/home-values/77002/cleveland-oh-44102/ 44106 (median home price went from roughly 100k to 200k in 8 years)https://www.zillow.com/home-values/77006/cleveland-oh-44106/ It has the highest rents on average in all of Ohio for major cities and the median income is not even in the top 3.

Is my thinking correct that homes in highly appreciated areas won't benefit as much from Cost Seg. 

They offer zero equity value, though.

another issue it is about 18 months wait to get a Cabin started due to high demand for builder.  

A realtor doing high volume, you don't have to use one you can poll 3-5 agents see what they do to get you the comps and then pick that person to help you.