When this happens, inflation-adjusted rents tend to decrease.

Currently rates on commercial are going up and not down with Fed rate decreases.  

A new owner with more capital can easily come in and decrease vacancy rates and increase supply to realize a 2-3x revenue.

The cost per sf skyrockets as house size decreases. 

But there's something else that many people don't realize: these loans  "constant recast" during the interest-only period.For example, if I make an extra $400 payment one month, my interest-only payment will decrease the following month.

In addition lower rents will decrease the value of a property, not necessarily its appraised value, because no buyer will desire to pay retail for properties with reduced cash flow.

Notice I say advertised and not going for because next, you will want to see how long these properties have been on the market and if they have decreased their rental asking amount.

You can find higher ROI (on paper) here and probably in other cities…but the probability of actually collecting rent significantly decreases.

The interest is so much in the beginning, because the balance is so high, the interest decreases because the balance decreases.

Alas, this scenario didn't last very long, as you would expect in a free market capitalist society -- new money flood in, more STRs in supply, property prices increase, STR incomes decrease, until a new equilibrium is achieved.Nowadays, the word STR is being used to describe both the property and the business.