The idea of doing the gradual rate decreases is to have a gradualness to the market fluctuates. 

Looking at the data you provided for Melbourne, FL:- Average rent is around $2,000-$2,100- Rents have actually decreased slightly year-over-year- There's a wide range of rental prices ($650 to $6,500)This suggests a diverse market with potential opportunities, but also some volatility.

If this comes in low, this decreases your LTV.

I noted the year-over-year increase in STR permits, the decrease in average nightly revenue, and the sentiment that economically-incentivized sellers would flood the market after this winter season (effectively increasing housing supply and decreasing prices).

(assuming the cash flow is higher than PITI).My second question is if I acquired a duplex via seller financing, would that also decrease my DTI?

So I am looking at this as a way to decrease my federal income tax if I lose FEIE.

Really dig in on ways to increase your rental revenue and decrease your expenses. 

And lastly, I search FunishedFinder listings nearby, find comparable properties, and track the listed rent for a few months (does it increase, decrease?).

I am not on the forums enough to notice but as rates decrease, loan transaction volume will increase. 

As supply increases, demand decreases, which can eventually lead to lower prices if done on a large enough scale.Unfortunately, many people outside our industry don’t fully understand this.