Nice STR properties in the radius with a pool rent for around $20-25K per month, which would make this a nice cash flowing asset.My thoughts on how I would do this would be:- Scrape existing property and build a large 3,000 square foot property with a pool and make it a highly desirable Airbnb destination property- New build properties in the area with these specs sell for around $2 million, so I would use financing for the build and cash out to take on a larger loan using a DSCR product.- I owe around $380K on the property currently and it is valued around $600K with most of the value in the land. - I'm estimating that a new build would cost around $600K to build and I would use a hard money loan to finance the construction of the property and do a cash-out refi with a new loan balance of around $1.5 million and a DSCR of around 2.1 on a roughly $1.75-$2 million property.- This would allow me to have a great cash flowing asset in a good neighborhood that I can hold onto for the long-term.What am I missing?

Hi @Jamie Mason,Sarasota is a popular destination with the wealthy retiree and family demographic because it offers such a diverse range of recreation and leisure activities together with the stunning landscapes and wildlife it is a genuine gem.

But with condos, the potential to get a better location for a cheaper price is appealing, and I've also thought about turning it into an airbnb since we're in a vacation destination. 

@Kenneth LaVoie I moved down here 9 years ago thinking Cocoa Beach was my destination.

LA is an international destination with a lot of domestic and foreign cash buyers, and I'm seeing owner users outbidding developers for cash only fixers just to get into neighborhoods.

Some are destined to be a success and others not so much.

If you want a high ROI, good luck to you.From a capital appreciation point of view, Puerto Vallarta is an established destination (including) that area and you're paying a very high price so I'd ask myself what king of capital appreciation I can expect.

They are different approaches and different destinations.

Market Selection - Prioritize proximity to national parks, tourism destinations, mountain markets and markets that are less seasonal.

I went true short term rental because of the cashflow, equity paydown and appreciation I was expecting over time being in a more expensive area that is a vacation destination, as @Andrew Street mentioned.