The appraiser is going to take all 3 approaches to value (cost, sales comparison, & income) into consideration and develop an opinion based in the relevant approaches and then reconcile those opinions into a value or value range.

Definitely not trying to take advantage on my relative, just checking how experienced guys would approach this situation here.About not being entitled to any compensation, You're right, I should take it into consideration.

However, if we had held it for another 6 months we would have had another $50k in appreciation because of the quick rise in market values.

Thank you for any consideration!

One big consideration here is if your city has different zoning laws for STR and non STR properties.

If your goal is a dependable passive income that will get you off and keep you off the daily worker treadmill, you partially defined the location requirements.A dependable passive income is -Reliable - You continuously receive income in good and bad economic times.Inflation Compensating - Your rental income grows faster than inflation, compensating for rising prices.Persistent – The income continues for a long time; you and your spouse will not outlive the income.2.

Homeowners who have owe nothing on their homes or those who have mortgage rates in the 3%'s or lower (which are most at the current time) are very reluctant to sell as they will probably incur higher cost even if they decide to downsize due to the rise in mortgage rates.  

The irony of the situation we are in is with rising rates sellers who need to buy after a sale won’t well because of … rates.

And your value rises exponentially, if you can present me with "real deals" that are preferably off-market, or where you have some inside knowledge that can benefit toward acquiring the deal.

I'll take your advice into consideration in my property search.