The average daily rate (ADR) reached $199.65, a 5.5% increase from Q4 2023, while revenue per available room (RevPAR) grew by 5.6% to $147.84.

So if you find you aren’t seeing the cash flow you desire - real estate may not be the best vehicle at the current time until interest rates come back down.  

And rates are on par with conventional.

I responded to my PM to ask what is the current rates for that particular area.

Your price barely meets this minimum criteria, so it is not a discount.  

I'd recommend investing in the Midwest due to its steady economic growth and relatively low unemployment rates.

For me, although it isn't likely it is called, if it is called I risk my 2.7% interest rate for what will probably be closer to 7% for a commercial rate.What value are you getting by having your asset in an LLC that you would risk that spread on a rate?

it looks like a hopless situation for me.I had all of my life savings put in Yucca Vally short term rentals In  early 2022. got 4 nice villas at 20% equity. then 2 things happened: rates went up and demand for vacation rentals in that location went WAY down. 

@Scott TrenchPeople thought last year we reached the peak but reality is we are just scratching the surface as many deals that were in trouble were hoping for rates to come down have not - so it’s gonna get worse before it gets betterThis one seems sketch to me honestly as if original poster is reading this why wait four years ?

What's a reasonable interest rate?