While some markets, like DFW and Austin, are still competitive for well-priced properties, sellers are becoming more flexible with concessions and price reductions in certain segments.

What I have seen are a LOT more cash offers, especially in the luxury segment.

To that end, as a person who's worked in this segment, I agree 100%, community level MFH is the simplest most passive means to effectively be invested in real estate at significant $ levels. 

Here’s what stood out:Performance – 4–5+ Bedroom Homes:Average Annual Revenue: $102,900Occupancy Rate: 65%Average Daily Rate (ADR): $499RevPAR: $324.93YoY Revenue Growth: +14%Inventory Share – All STR Listings:1 BR: 22%2 BR: 19%3 BR: 34%4 BR: 18%5+ BR: 7%That means 75% of the market is made up of 1–3 bedroom homes, while only 7% of listings are 5+ bedrooms — and that small segment is hitting the highest revenues, ADRs, and occupancy rates.Bigger homes are attracting families, wedding groups, and football weekend groups — but competing with far fewer properties in the same category.If you were buying in Tampa Bay today, would you stick with the 1–3 BR space, or target the bigger homes?

Do you have a particular pathway/segment in mind?

First, we come up with a list of all renovation items that would make the house as attractive as possible to our target Tenant segment.

This is giving buyers a bit more room to negotiate—especially on properties that need upgrades or aren’t priced strategically.Sale Price DiscountsDetached Homes: Average sale is 2.9% below listAttached Homes: 3.6% below listOnly 10.2% of homes sold over asking, down from 14.8% a year agoWe’re seeing a return to more normalized pricing behavior, and sellers are becoming increasingly open to negotiation, especially in segments with higher DOM.City-Level Market ActivityTop Sales Volume: Palm Springs (128 units), Palm Desert (125), La Quinta (93)Highest Inventory: Palm Springs (661), Palm Desert (620)Dollar Volume Leaders: Palm Springs, La Quinta, Palm DesertMarkets like Palm Springs and La Quinta remain highly active, while smaller cities like Coachella and Cathedral City are showing improved affordability and faster selling times.Why the Coachella Valley May Be a Value Play in Late 2025Here’s why I believe the Coachella Valley is a market to watch for both local and out-of-area investors:Inventory is back, but buyer demand hasn’t fully returned—creating room to negotiateMany homes under $700K now qualify for value-add strategies like BRRRR, mid-term rentals, or layout optimizationRental demand remains strong, especially in Palm Springs, Indio, Cathedral City, and La QuintaAverage discounts of ~3% below list provide a better entry point than in 2021–2022If you're investing for cash flow, there are opportunities here—especially if you're comfortable taking on light to moderate renovations or repositioning properties for higher use (e.g., ADU conversion, mid-term rental setups, etc.).Final ThoughtsWe’re not in a crash, but we are in a moment of market recalibration.

Whereas if you have a 8-20ish unit hotel, now you can capture that market segment at scale on one property and spread out the fixed costs.

I’ve spent my life trying to gain expertise in a SEGMENT of real estate; this guy must have 200 hours in each day. 

Definitely an interesting market segment to watch.