It's a lot of work and very competitive, but it's a living.I see you've been a member of BP for years.

That, coupled with the lack of reserves, can put you under.

Also with new construction building, that is competition for finding tenants.

This can potentially enhance long-term wealth building.Tax Deferral-By reinvesting your proceeds into like-kind properties through a 1031 exchange, you can defer capital gains taxes, allowing you to reinvest more capital.Market Timing-Despite the competitive market, a 1031 exchange gives you a defined timeline to identify and acquire properties, potentially putting you ahead of other buyers who might not be as motivated by a tight deadline.Cons:Lower Initial Cash Flow-Acquiring additional properties may reduce your immediate cash flow, especially if properties in your target market are not as cash flow positive as your current property.Risk of Overpaying-In a competitive market, there's a risk of overpaying for properties just to meet the exchange deadline, which could impact your overall returns.Either one is a valid option, but overall it depends what your financial goals and restrictions are.

Are you implying it’s a bad idea due to competition reasons?

Russ,  my point was about lack of affordable housing.. and 200k to 300k is below the national median and affordable.. so its up to folks that want affordable houses to buy what they can afford .this way they get out of being life long renters and they build equity etc..

Research local rental market trends for 3-bedroom, 2-bathroom homes to determine competitive rental rates and ensure they align with your financial goals.Consulting with local real estate professionals can provide valuable insights into market trends and potential challenges.

Regardless of the current condition there is ample opportunity to stand out from existing rental competition with attractive styling, design, decor and pro active management. - Profitability & Consistency: Last but not least..prime Oregon Coast STR vacation rentals generally do very well financially.

Hey Zehua, The loan you're considering appears to meet IRA requirements as it's structured as non-recourse to both the LLC borrower and yourself as guarantor, except for carve-outs like criminal activities on the property, unpaid property taxes, and lack of insurance. 

Since there is a cap on the rental within the city limit, does that means there will be less competition for the rentals