They are the same ones that claimed the stock market and economy would tank if Trump won the election.

Economy of scale, go bigger than you have now (fourplex or a small apartment building if you have the available capital) just don't get too eager and make a bad investment.

I am bullish on the market due to the health of the economy and growth the country has been experiencing.

That is awesome you have experience with STRs and are looking to take the next step in your investing career.You are very wise for wanting to get into multi-units, as they allow intelligent investors the opportunity to greatly benefit from the "economy of scale" (both from the standpoint of lowering $/unit as well as reduced managerial efforts) that coincides with the higher unit count.Please feel free to reach out if you have any interest in the San Diego market.Best of luck!

So when there rents are going up typically the COV (cash on Value: cash flow compared to current value) has declined and the investor is making less for the value of his investment than prior to the appreciation (i.e. getting a worse return for the current value of the investment).The economies of investing in the Midwest just do not work to meet the goals for most So Cal investors unless using true MF (5+ units). 

  - Are we due for a Economy Fix (Is it the right time to buy/invest?)

In my mind, bigger deals would create economies of scale and make everything easier and more cost-effective.

With the strong economy and market, that's probably true.

The payments on the loan must still be made, but the income from the investment may have declined (vacancies, lower rents from a slower economy, and so forth).

Kansas City has a pretty diverse economy.