Be conservative because demand can go up or down at any time as can the laws -- a good general rule of thumb for STR is to make sure it still makes sense as an LTR.

Makes perfect sense.

I'm working on making these relationships stronger by giving more than just returns and making sure that every interaction feels like it has value.

Does that make sense?

In general I am anti-arbitrage but for something so unique it may make sense. 

I am very new to this idea, so it's possible that one of these options just doesn't make sense.

This may be why many of you are experiencing delays in redemptions and distributions.In the fund which I co-manage, we've stopped foreclosure activity on many of the non-performing assets since it doesn't make sense to pay our legal resources for activities that are in moratorium.

I am currently in Hong Kong, and there is no way I can or will invest here as home prices compared to rent yields just don't make sense according to any of my calculations.

And your central point I think, is to use conservative numbers so the deal still makes sense even in the worst case scenario.

And YES, far FAR too often I am seeing people stack up UN-realized expenses at a compounding rate, to give selves a false sense of "profit" on whatever monthly/quarterly capital there moving around.