I’m especially interested in spots with strong short-term rental (STR) demand, where the laws are favorable to investors.I have around $250,000 USD to put down as a deposit, and I plan to finance the rest through a mortgage.

Yes all investing is gambling but there are things people do to try and stack the odds in our favor. 

Also you can make the same argument for brokers that people make to favor the relator model (i.e. you get a better deal). 

I happened to be the landlord and got a very favorable lease with an arbitrage operator and I'm pretty sure they lost money over the period of them arbitraging with me.

In fact, the USTC has found in favor of the IRS when a taxpayer did not apply the law correctly (what everyone deems the loophole).

Eventually, you will see a property pop up that is an outlier in your favor, and you will be the only person who knows that market so well as to be able to strike quickly.The 1% rule had a value at one point, maybe as a screening tool, but it could never compete with the specialist who has done the reps.This is spot on. 

Moving to the most favorable market possible?

@Stephen Hood your idea is solid and shows good potential, but here are a few things to consider:Private Lender Terms: Ensure the lender agrees to the 1% origination fee and $2K monthly payments—some may require a higher interest rate or balloon payment at the end.Timeline for Sale: Factor in potential delays with selling your current property or completing renovations on the new one, as these could impact your refinance timeline.Refinance Feasibility: Confirm with lenders that refinancing at $500K is realistic, especially after recent rate increases and appraisal expectations.Exit Plan: Have a backup plan in case the market shifts or repairs take longer than expected, such as extending the private loan or bridging with a HELOC.If you can lock in favorable private loan terms and stay realistic about costs and timelines, this could work well.

They used to have a Discord community which they closed down in favor of a heavily moderated chat feature.

Most of the time, you're not doing anyone any favors by keeping rents too low - you're running a business and taxes / insurance / HOA / Maintenance are likely to continue to increase.