Key areas to watch include interest rates and inflation, tax policies, affordable housing and rental assistance programs, regulatory environment, and supply-side initiatives.

The key to understand about STRs in CO is the regulatory environment - it is simultaneously the best part of investing here, and the worst.

We generally stay away from California because of regulatory issues.We know who we are and what we are good at: we’re out-of-town but highly engaged real estate investors who know how to pencil deals, structure deals and package deals to raise capital.

Given the size of the transactions generally offered on crowdfunding sites, there aren’t enough secondary trades large enough to make the economics work systematically (besides the regulatory constraints) for Broker/Dealers to be incentivized to help LPs to redeem their positions via a sale/transfer to a new investor before the end of the investment period. 

Don't they have to provide the financial statements to SEC or regulatory authority?

You’ll want to check out the PA Code's Chapter 2800 for the standards around licensing, safety, and staffing requirements, and the Assisted Living Residence Regulatory Compliance Guide can provide extra insight.We actually have a local team here in Allentown that has worked on several of these conversions, so if you'd like some guidance or just want to chat through the process, feel free to reach out.

From my understanding month to month rentals (mid term) are not going to fall under the same regulatory regime as long term leases.

Check the state regulatory agency's web site.

We decided not to go down that path because we felt assisted living was less risky from a regulatory standpoint. 

I believe it's actually a very good regulatory environment now that the permits are in place.Overall, I expect metrics to continue to improve over the next few years as the demand for STRs continues to grow in our market at a 15% year over year rate.