I know this is a pessimistic and limited view, but I can't quite shake the thought. when gurus are selling how to  then you know the space is over saturated.. 

It's going to take time, but it's probably the only way to stay competitive in a super saturated market if you don't have liquid capital and a successful track record.Don't give up, though!

As the Facebook news feed gets more and more saturated/ competitive, Instagram is this spectacular extension of Facebook with over a BILLION users!

Ground was already saturated and this NorEaaster simple pushed your system to the limit. 

The area I know well is Brooklyn and its extremely saturated and cutthroat. on the other hand I can focus on deals nearby where its easier start out. 

So I've been reading on some forums about how DFW real estate is super saturated, contractors are charging more than ever, and there great deals are few and far between.

If interest rates rise too fast and the market gets saturated (which it may this year or next) you will see declining prices gradually over the next few years once that happens.

Some cons are higher costs, as @Mohammed Rahman mentioned, lack of established rental history (it might be harder to price accurately), and sometimes higher competition depending on how saturated your local area is with new construction.

This is where the greatest level of saturation is. 

If your area is saturated with STRs and you're seeing your occupancy rates decrease or you're having to drop your nightly rates, then you might want to consider converting.