Dscr investing markets

[Julianna Gimelli]

What is the best market to find Dscr approved properties? Preferably looking for Airbnb friendly destinations / regulatory areas. And / or mid term rental friendly areas! 

[Arman Ahmed]

I'd focus less on finding a "DSCR market" and more on finding markets where the rental income comfortably supports the debt. For STRs and mid-term rentals, I like areas with multiple demand drivers such as tourism, healthcare, universities, or major employers rather than places relying on a single attraction. If you're open to out-of-state investing, some Midwest markets are becoming increasingly attractive because acquisition costs are lower and the DSCR numbers can be easier to hit. Just make sure you're underwriting conservatively and paying close attention to local STR regulations, because those can change much faster than the real estate itself.