Sarasota/Bradenton gives you solid rents at a lower buy-in, while Fort Myers/Cape Coral is cheaper but way more volatile when the market shifts.

That being said, today we’re seeing a ton of volatility in the interest rate markets and I thought I would tailor a post to help newer, “non-econ” people to understand what’s happening and what direction rates are heading (and why).

The Vegas market can be volatile, so starting in a market with strong rental demand and predictable cashflow — like parts of the Midwest — can help you gain experience and build your portfolio with less risk before tackling new builds or larger projects.

Lower turnover and less variable expenses = less volatility.

We have opted to avoid total rehabs simply because of the time and the volatility of the market today. 

Rates aren’t as volatile, LTVs are still topping out around 75–80%, and most lenders are holding the line at 1.0–1.1x DSCR minimums.

Hi Jonathan, From a financing standpoint, if you want to protect against volatility, you might explore DSCR loan products that underwrite directly to STR income (not long-term rents) so you’re not forced into overly conservative “annual lease” numbers.

The Fed Funds rate for short-term borrowing is simply too volatile.

@Joshua MosesThe Midwest is a great place to start looking once you’re ready—steady rental demand, affordable entry points, and markets that aren’t as volatile as the coasts.

We could pay off the house but have been holding onto a chunk of $ to see what (was hoping for some more stock volatility).