Partner 1, who sources deals and manages the business, should receive compensation that reflects the effort and responsibility they take on.

It's easy to obtain, costs very little, and doesn't require extra, on-going effort to maintain.

As individual humans, we like to complain about others not helping or sabotaging our efforts (generally speaking)...but the reality is we usually get in our own way. 

Is the higher cash flow from short-term rentals worth the additional effort, or does it come with too much hassle in terms of turnover and regulations?

Same thing with what I am building in Charleston SC another red hot market with extremely limited inventory and no SFR goes for rental purposes.. those with funds to buy are still buying . when i built in florida starter homes that was and is a disaster.. granted I did not lose money but it was No way worth the effort time and risk.. so its market dependent. 

I am very grateful for the effort each of you made in your response. 

While you can systematize your airbnb operations to be more passive, you do have to put more effort in vs a long term rental.

However, right before closing, the terms changed drastically, and there were $4000 extra loan fees that were never disclosed during the month-long underwriting, despite my efforts to get a clarification on fees.

Huntsville is a good market but it has seen a lot of appreciation in the past 5 years so you might not get 1% deals that easily...but with little effort you can get lucky...but to get lucky you will have to build your network by buying properties :) 

Short-term rentals could offer strong returns, but consider how much management effort that might take, especially with multiple properties already under your belt.