They seem to be so unfavorable to the owners!

If it decompresses because of unfavorable market conditions, then it could potentially work against you.I typically double check the operating expense numbers I use with property management companies who know the area well. 

Two things to keep in mind when searching this area for STR properties; the first being FR/WC is peppered with HOAs that have unfavorable regulations for STRs and secondly cell service all but disappears in the southern half of the county.

If you don't mind me asking what made market conditions unfavorable for you.

The price-to-rent ratios are generally unfavorable, and a shortage of skilled tradespeople and reliable property management can hinder the success of buy-and-hold rental investments.

They went on to enumerate examples such as finding the property, negotiating the deal, signing any contracts etc. as being in direct violation and therefore spoke unfavorably as the retirement vehicle altogether as a means of holding real estate.I would love to hear your thoughts as to whether this is true as I was under the impression that the self-directed nature implied the very opposite.Best,Patrick

Many agency lenders won't touch anything below $2M and even then could be unfavorable terms.

Property taxes, income taxes, sales taxes, declining population, unfavorable rental laws, winter weather.

It's a 7-Yr ARM, but I am comfortable taking the risk since I could just pay it off if the interest rates are really unfavorable, otherwise will refi into a fixed. 

Many have an unfavorable outlook on the 5+ unit market for the next 2 years or so, while there are a few who are still hungry and actively funding deals in the space.