Investing in High End RE for STR

I have cash and have been trying to come up with strategies to make the most of it. My latest idea is to buy a STR, ocean front, near where I live in SoCal. Not many options as I am limiting myself to areas that are STR friendly. The going price is 4M give or take. I can come up with 25% down. I went into Chase bank today and they limit investment type loans to 1M. Is that typical of bank mortgages for investment properties?

I own multiple paid off income properties that are all LTR. I guess I could borrow on paid off properties or even sell some of the ones that are PIA. 

Is this a crazy idea to be investing in expensive properties at this time?