This strategy hinges on the accurate identification of 'winners' in a volatile market and the successful navigation of the complex dynamics of post-pandemic real estate investment.

In a volatile market, cash is king and having more of it available is just a better position to be in.8.

The immediate response could lean towards a conservative approach, with a keen focus on acquiring assets that are undervalued or distressed, offering potentially high returns in a volatile market.

Using a Home Equity Line of Credit (HELOC) or home equity loan for purchasing a Short-Term Rental (STR) property is indeed a strategy that some investors use, but it comes with both advantages and risks.Advantages of Using HELOC for STR Investment:Leverage Equity: You can leverage the equity in your current home to finance your investment without having to sell your primary residence.Lower Interest Rates: Typically, HELOCs have lower interest rates compared to other loan types, making them an attractive option for financing.Flexibility: A HELOC offers flexibility in terms of borrowing and repayment, which can be beneficial depending on your financial situation.Risks and Considerations:Risk to Primary Residence: Since your home is used as collateral, if you're unable to make payments, there is a risk of losing your primary residence.Variable Interest Rates: HELOCs often have variable interest rates, which means your payment amounts could increase over time.Market Volatility: The real estate and rental markets can be unpredictable.

Market Volatility: Real estate markets are dynamic and can change due to various factors like economic shifts, interest rates, and market saturation.

Second, I do not know your market, but I understand Arizona is a very volatile market.  

Hotels can be seasonal and highly volatile on revenue streams.

The stock market is just to volatile for my liking.

If there is an increase in interest rates within the next years (which is likely) then maybe my 4.99% will have been a better and significantly less volatile option for the long term.

I have some stock market experience and have been able to do quite well, however the volatility is frustrating and it sounds like the possibility of higher returns is greater with real estate.