Smaller multi-family is significantly more common in the Northeast, Midwest, and Western cities who had their economic boom in the roaring 1920s-60s and thus, tons of high density zoning was developed across the country (but not the South).

Start by evaluating your current financial position, setting clear objectives, and focusing on strong rental demand, population growth, and economic stability.

The appealing aspect here is the ongoing population growth and other economic factors.

STRs generate about as much hotel tax revenue as the hotels/resorts so there is support at higher levels:  https://poconosvro.wildapricot.org/Economic-ImpactLocal regulation is rough.  74 municipalities each with their own zoning and STR ordinances plus most of the housing stock is in planned communities, many were built as vacation/resort summer homes.  

The Error by the Tax Appraiser may have caused you and economic loss. 

I try not to guess about macro-economics.

Being a forward-thinking investor allows your portfolio to be more resilient in times of economic downturns or market fluctuations.

Generally, the economics of lending do not support these loan amounts.

;(No I'm not ignoring one of the laws of economics the elastic market place where price is a function of supply and demand. 

Vacancy rates may also rise slightly under this scenario.The retail market's performance will depend heavily on broader economic trends, particularly employment growth and consumer spending patterns.