However, there is definitely a demand for the STR in these locations and there are many communities that do not have any restrictions on these rental minimum.Definitely inquiring about the community CC&R's and regulations regarding the STR ability is recommended. 

People aren't optimized so you can go in there and become top tier relatively easyAccording to airdna the returns are better.Cons:No regulations or regulations that are subject to change so str might be banned.Am I missing anything?

However, the rules vary greatly from state to state and because cities often further regulate the landlord-tenant relationship, it's very important to know the rules for your specific location.

You can't profit from reselling utilities because utilities are a regulated industry.

Replacing electrical or plumbing is in the $6-8K range for a one-bedroom apartment.

I was told there was a plumbing problem in the basement and a clean out had to be installed.When the last owner had it converted to storage, the took out the bathroom/kitchen plumbing and electrical.

I agree with Naples, high priced and too much regulations for STRs.

They sub out any licensed electrical or plumbing problems, but the rest they are capable of doing.

Redoing the kitchen, bathrooms, upgrades (HVAC, roof, plumbing), landscaping etc.. 

Airbnbs in regulated urban areas usually require a registration number.