While they are legal from a building department view point, if there are complaints from neighbors about you renting it long term, it could create issues with zoning.  

Evening, I am in the process of acquiring a short to mid term rental in the somewhat local vacation/ tourist destinations in my region.

Looking at the reporting I do get, their fees are very high for what you get in terms of them managing the asset. 

A year of rent sounds great on the surface but I'm wondering why they wouldn't just pursue a normal year long (long term) rental...maybe they've been bad renters or have bad credit or low income.

High paying local jobs.Monthly cash flow: $306 /moIncome:  $2,250 /moExpenses:  $1,943 /moCoC ROI: 2.69%5-year annualized return 4.91%   Mortgage payment $1,394.53Rental income: $2,250/mo Expenses: $1,943Loan detailsTotal cash needed $136,739Purchase price$ 336,990Loan amount $206,990Loan term 30 yearsInterest rate 7.1%Monthly expense breakdownTotal expenses $1,943Mortgage $1,395Taxes $280Insurance $47Variable expenses  $180Fixed expenses $42Monthly Fixed expenses: $42 electricity $0gas $0water & sewer $0hoa fees $42garbage$ 0Other$ 0Monthly Variable expenses $180Vacancy $180Maintenance $0 (new construction)CapEx $0 (new construction)Management fees $0 (self manage)ReturnsNOI$ 20,412CoC ROI 2.69%Pro forma cap 6.06%Purchase cap 6.06% 

One I know is days on the market but I would like to know a strategy more in terms of the work needing to be done on the property.What is the typical rehab budget for a full gut versus a fixer-upper that needs some updating such as for the kitchen, bathroom, new carpet, roof, and/or driveway for example?

We have great long term residents in our POH rentals and do very well financially with them. 

Short term rentals are more challenging in Truckee, as there is a limited number of permits and a currently a waiting list.  

They already agreed to the sale price and payment terms.

Efficient negotiations secured the property for $200,000 on favorable terms.