Then the prices lower towards the date and you end up booking at a low price or worse just being vacant.I think manually pricing your STR'S is a much better approach.So many people are looking for the next cool software app to buy a subscription to.

The house is in Woodforest though so rentability might be lower as well increasing vacancy risk due to high rental costs. 

Markets like Texas (San Antonio or Dallas) or North Carolina (Charlotte) could offer better cash flow with lower costs.

I invest primarily in a lower cost area but also own property in, and am looking in, a higher cost area.

Shortly after the crash my tenants learned that condo developers were renting out luxury apartments in the area for around the same rents I was charging so I was forced to lower rents. 1200/apt 2 1050/apt3. 

Secondary markets like Greensboro, Winston, and Fayetteville will likely still be under the 1% rule, but our property taxes are lower than most northern states so the CoC (which is what you should be as/more concerned about) return will be favorable.

A 4 bedroom would have you competing with larger condos or townhouses with pools, a much lower rate of return. 

Most lower priced condo projects are not very healthy and why they are low priced.

The only approach I’ve found effective is offering a deposit alternative, which lowers upfront costs for tenants without devaluing your property.

A 1031 exchange doesn’t apply, but funding through a self-directed IRA can defer taxes, though profits from debt financing may trigger UBIT.To reduce taxes, consider forming an LLC for better expense deductions, offsetting gains with investment losses, or holding the property for 12+ months to qualify for lower long-term capital gains rates.This post does not create a CPA-Client relationship.