I operate out in Southern California.

Even really skilled operators are left with no back up plan because they can't pivot to LTR in that market, can´t fetch the price they paid because the STR has lost some steam and was bought using nightly rate numbers etc.

@Patrick Pan, if I was operating in a state where that was a concern I would just contact their current landlord for a reference.

They usually sell for a really attractive price because investment property financing is (obviously) difficult, somewhat limiting the buyer pool to owner-operator small business owners (who in turn are typically great clients, as well).  

I’d love to hear more about how you approach finding these under-$2M properties and what strategies you’re implementing for operations optimization.

You can certainly own multiple assets in the same LLC, but I would be careful about operating a business and owning other real estate or investments in that LLC.

You second property will rip I bet.

Bacon is more yummy than a Christmas tree, but I bet I'm going to have a whole lot less regulation growing Christmas trees... however, before we even get to that, it's necessary to know that the inquiry is even about bacon v Christmas trees, rather than Bacon v grapes. 

But I agree, seller's best bet is to buy using a conventional loan if they can qualify. 

Expenses will level off: Multifamily operators have been plagued by expense increases in the form of taxes and insurance, for the last few years, especially in the south, and especially in Florida and Texas.