They began losing sight of the math behind an investment and simply bought whatever they could because they could always sell it for more later.

This reminds us of a 2nd grade math teacher taking all the credit for his student getting an A in calculus.

# of TOH x Monthly Income x 122 x 400 x 12Annual Income = 9600Subtract water:# of TOH x $50 water bill/month x 12less $50 for water each = 12009600 - 1200 = 8400Applied expense ratio @ 35%8400 x .35 = 29408400 - 2940 = 5460Cap at 8%5460/.08 = $68,250Did I do my math there right? 

Personally, I need to do more homework myself on the local STR part to see if numbers make sense.  

Keep what you've got but do some homework and start looking for a GOOD property manager.

And I taught math forever in secondary and post secondary settings so I know the number side of things too.

Do your homework thoroughly, but don't get stuck in neutral.  

And we know there is NOT rampant "bloat" in rent prices because if there were, it's also simple math that landlords would be rushing to create additional units to capitalize in that "pay day" right, because it's "bloated" rents, meaning over sized profit margins, which to be true would mean it's "cheap" to create new units vs the over sized profits it's producing.......

Our strategy is to buy land cash, take construction loan to build the structures.Some napkin math for this strategy:Land cost : $200,000Building and furnishing Cost: $400,000 for each A-frame (Provided we have electricity, well ready )Airdna revenue estimate shows $400 night rate with 70% occupancy.

All math and books aside (I love math & books) REI is about the furthest thing from a W2 job.