If you went with the 'delayed financing' then you could recoup even more than 75% of the initial purchase price along with some rehab funds if that is something you are looking to do with the property.If you go cash on both the purchase and the rehab, then you could go with a refinance either on the unseasoned cost.

My yearly cost to run my STR is $30k and I've been bringing in $100k for the last 2 years.

The assets are old, need work constantly, the cost of living is high, and there is no job growth.I wouldn't solely focus on cash flow.

I was wondering if the tax benefits outweighed the upfront cost, but it doesn't appear to be so.

Additionally, I'd appreciate any tips on balancing cost-effectiveness with durability.

Rent costs are nearing 2019 levels.

Aside from seeing a parcel and knowing a great project could be built on it, it's necessary to be able to show precisely what can be built, how much it will cost, and have real numbers, based on actual bids to back up your projections. 

All I can imagine is a lot of blight hitting many rental units when the costs to maintain rise beyond the capacity to finance that maintenance.  

Per the article, the term "Seriously underwater" is defined as 25% or more owed above the total estimated market value of the property; Among zip codes with at least 2,000 homes with mortgages.I'll let you in BP Nation decide if this potential financial loan distress would make the Rocky Mount area more or less attractive for a real estate investor.

I do like the smaller homes because they are brand new and maintenance costs will be lower.