Because all these new construction homes were either started or finished during high inflationary times in regards to both materials and general real estate.

HI Kev, we helped a lot of luxury STR investors this year utilize the accelerated deprecation tax incentive, I would actually suggest checking out the bigger pockets featured tax preparer section and sine it's likely a considerable reduction definitely not try and do it yourself..the investment in high quality reliable tax advice is essential to any investor tool kit. 

The rate will be high though 

Also remember even with a high amount of financing, the lender will want to see you have reserves to cover the project in case it goes over budget. 

My strategy is to invest in markets with strong future appreciation potential and areas where population has been consistently growing with some cash flow.

There is always risk but in this case the risk is too high.

The seller wouldn't accept a lower offer, the renovation cost was too high or ARV not high enough.

High performance contractors run on premium gasoline , and they dont run on empty . 

.- As semiconductor, electric vehicle and other advanced manufacturing companies flock to central Texas, companies in adjacent high-tech industries are piquing interest in Austin.Austin is one of the most dynamic and exciting technology hubs in the world.

With low prices, high demand for rental properties, strong potential for appreciation, tax incentives, and renovation opportunities, investors should consider Detroit to diversify their real estate portfolio.