BackgroundCar is not for me but mid twenties daughter who I partner with to buy real estate.

STR standard depreciation is 39 years @Andy Lanyi@Jonathan Cooper even if you take Bonus Depreciation as @Basit Siddiqi highlighted the remainder 40% will be prorated using the Half-year convention or Mid-quarter convention used in line with what you read in IRS Pub 946 

Some of our deals produce out size returns, but most are in the mid teens.  

A lot of my clients prefer the mid-high 100's and under 275k range because the clientele is more consistent so it makes the investment much more safe, comfortable and reliable.I'm not a big fan of option 4 just because that's all you're getting 4.5% no matter how you look at it.

There is a mid-match between wages and housing costs.

I did this in the MS market and while the advantages you pointed out were true.. markets that have slow appreciation and or areas where builders can keep building for low dollar amounts like the mid west.

Leases expire mid 2025. 

That will allow you several benefits like adding the square footage to your property, having it appreciate in value as more ADUs are added to the neighborhood, legally rent it out within the city's parameters around long-term, mid-term, and short-term guidelines, and feel good about your investment.

I don't go above 70% generally and prefer mid or low 60s. 

I’ve found success by focusing on emerging neighborhoods, avoiding flood-prone areas, and exploring short- or mid-term rentals to tap into the steady stream of tourists and business travelers.Good luck!