Short term rental vs long term

[Z. Fourmault]

Hi, 

I am looking to purchase an investment property - likely 1br in the Downtown Austin area (South Congress or East Austin). Our plan is to do airbnb for awhile. How difficult is to get a short term permit? Is this a viable option? What are some issues I should be mindful of? 

I am also evaluating whether to purchase a smaller property Downton or larger property in the suburbs? Which one will appreciate more? 

Thanks