You could also consider sourcing an inexpensive used vehicle as opposed to something new.

However, we often facechallenges in sourcing suitable properties through traditional MLS listings.

The one cost will be getting the units furnished, but if you live in the area it isn't hard to source a bunch of decent 2nd hand furniture on Craigslist or FB market

Often times, their approval processes are slow.Credit Unions - Their member structure also subsidizes their financial structure so they can also be a source of low-cost financing.

If you're open to mid term renting (we transition to this during our slower season), I'd also recommend speaking with the university and trying to see if you could try to be the source for their mid term housing.

I do not care what the source of the return is  Historically the highest return is via a value add and appreciation and is more so recently due to the recent rate increase versus earlier this century (before 2022).However, most new RE investors cannot handle extended periods of large negative cash flow.  

The process must be understood and applied to team building, investing your and 3rd party capital, and financial deal structure with debt and equity sources. 

Having worked with investors who’ve transitioned from LTRs to STRs or MTRs, I can see why Johnson City would be appealing.You’re right to consider the university, the med school, and the hospitl as potential sources of consistent demand for MTRs.

What is your source for 99% of transactions are above 2%?

We have been primarily buy and hold and wanted a secondary source of capital to fund our buy and holds.