If they do go to auction in many/most cases you’ll find the min bid was above what you’d consider for the inadequate due diligence you are allowed.Makes for huge inefficiency and risk, but if you can put up with all that then the greatly reduced pool of buyers probably allows for some good deals.  

I look at all the new listings everyday along with back on market or price decreases.

It shows you data by year, and if you add a simple formula, you can see the percentage increase or decrease.

Not decreasing, just not increasing as fast as before.

My one concern is that the cashflow of the vacation rental could decrease along with the home value if there is a recession or a housing downturn.

So it's a declining market segment, with the primary controller of market size happy to decrease it. 

Real estate has weathered price declines before, and a price decrease does not mean crash.  

Hi, Anyone seeing STR demand decrease for 2023?

Buying power will slightly decrease as rates kick out buyers who are now unqualified for the properties they desire but the demand will still be strong from more capital heavy buyers, further limiting the availability of "good deals."

Not here in FL in fact it's a seller's market here, we have had an increase in sales year on year and a decrease in inventory but I think in the US broadly prices are difficult to predict.Income properties are not as vulnerable at all right now I don't think because rents tend to hold and rental properties are valued totally differently than SFRs so I am not changing my position on Multi-Familys.Hope that helps.