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It’s time to Unlock Your Equity

The short-term rental market is navigating a period of price adjustments, shifting regulations, and evolving travel demand. With mortgage rates still above 7%, sellers are adjusting prices, creating new buying opportunities for investors. Meanwhile, Houston is introducing new STR regulations, European cities are tightening restrictions, and Airbnb is rolling out AI-driven booking policies.

In this issue, we break down the biggest trends, opportunities, and insights shaping short-term rental investing:

🔹 STR Classifieds – This week’s top 20 STR deals, including price drops, high-yield coastal escapes, and exclusive off-market opportunities.
🔹 The STR Scoop – Your essential market pulse, covering Houston’s new STR ordinance, shifting home prices, and key economic signals.
🔹 STR Trending News Nuggets – Airbnb’s anti-party technology, Washington’s proposed STR tax, and the latest builder sentiment shifts.
🔹 Housing & Economic Report – Mortgage rate movements, inflation concerns, and shifting real estate dynamics.

Market trends are shifting—savvy investors are capitalizing on discounted deals, leveraging equity through cash-out strategies to build reserves and maintain dry powder for the right opportunities.

Let’s dive in.

— The STR Scout Team

📢 The Market is Moving—So Should You!

Your STR’s equity is just sitting there—tap into it today. More STR deals are starting to hit the market, are you ready to strike?

Whether you’re scaling your portfolio, optimizing cash flow, or securing better loan terms, now is the time to leverage your STR for financial growth.

⚡ Get Pre-Approved in 60 Seconds—No Credit Pull Required!

💰 $500 processing fee waived for STR Homes For Sale Members That Move Into UW & Use The Link Below

🚀 STR investors move fast. Your lender should too.

Let’s get your deal done.

🌊 $328K | Myrtle Beach, SC: 3BD, 2BA oceanview condo in Sand Dunes Resort. Updated unit with pools, lazy rivers, and waterpark. Turn-key STR opportunity. View Post

🌊 $470K | Newport, NJ: 3BD, 2BA bayfront home at Gandy’s Beach. Renovated deck, private balcony, fireplace, and fishing from your backyard. Strong STR potential. View Post

🌴 $475K | Koloa, HI: 1BD, 1BA remodeled Kiahuna Plantation condo with AC and ocean peek. Turnkey STR with resort amenities and Poipu Beach access. View Post

🔥 $490K | Tamworth, NH: 3BD, 2BA home near White Lake State Park. Proven STR with hot tub, firepit, EV charger, and direct trail access. Sold furnished. View Post

🏡 $510K | Bandera, TX: Income-producing STR on 1.1-acre homestead with no restrictions. Includes 2 RV hookups, fruit trees, chicken coop, pool, and upgrades. View Post

🏡 $550K | Lake Lure, NC: 2BD, 3BA home in gated Rumbling Bald. Cathedral ceilings, gas fireplace, screened deck, bonus room, and strong STR potential. View Post

🦉 $565K | Sevierville, TN: 1BD, 2BA Cozy Cub Cabin on 1.92 acres near the Smokies. Vaulted ceilings, wrap-around deck, and hot tub. Strong STR potential. View Post

🌊 $595K | Corpus Christi, TX: 4BD, 3BA waterfront townhome on North Padre Island. Turnkey STR with private balconies, sun deck, and dock. 1.5 miles to the beach. View Post

⛳ $600K | Branson West, MO: 5BD, 4BA townhome in golf community with pools. Two kitchens, screened deck, game room. Grossed $335K since 2021. Strong STR history. View Post

🌲 $750K | Omaha, AR: 15-acre Ozark retreat near Table Rock Lake. No rental restrictions, sports court, dirt bike course, shooting range, and shop. STR-ready. View Post

🏝 $760K | Windsor Island Resort, FL: 7BD, 5BA vacation home in STR-friendly community. 3282 sqft, existing bookings through August, resort amenities included. View Post

🎿 $800K | Kellogg, ID: Luxury ski/bike-in-out chalet near Silver Mountain. Remodeled with rustic charm, game room, stunning views, and strong STR potential. View Post

🏡 $899K | Austin, TX: 3BD, 2.5BA modern home between Lake Austin & Lake Travis. Zoned for STR, residential, or commercial use. Stunning hill country views, luxe finishes. View Post

🌴 $968K | Indio, CA: 5BD, 4BA resort-style STR with pool, spa, and lake views. Turnkey furnished with solar and misting system. Grossed six figures in 2023. View Post

🌲 $975K | Sevierville, TN: Dual luxury treehouses on 3 acres. Themed retreats with hot tubs, arcade, fire pit, and frisbee golf. Grossed $30K in 3 months. Turnkey STR. View Post

💎 $975K | Sandusky, OH: 6BD, 3BA luxury STR known as "The Bachelorette Mansion." Fully renovated, licensed for 24 guests, huge parking lot, near Cedar Point. Turnkey. View Post

⛷ $975K | Dillon, CO: 2BD, 2.5BA townhome-style condo in Keystone. Vaulted ceilings, fireplace, private deck, and resort amenities. Fully furnished. View Post

⛰ $1.249M | Gatlinburg, TN: 3BD, 3.5BA luxury cabin in Cobbly Nob resort. Stunning mountain views, hot tub, fire pit, and strong rental history. Projected $140K income. View Post

🌵 $1.7M | Scottsdale, AZ: 6BD, 3BA STR on half-acre lot. Strong rental history, pool, brand-new hot tub, and prime location. Turnkey investment. View Post

🏨 $2.4M | Branson, MO: Operating STR complex with 15 units—1x 2BD, 2BA, 6x 1BD, 1BA, 8 studios. Fully remodeled, self-managed, prime downtown location. Grossed $265K in 2023. View Post

🏡 The STR Scoop | Your Weekly STR Market Pulse

February 18, 2025 – February 21, 2025

US Short-Term Rental Regulations

Houston to Introduce Short-Term Rental Ordinance

🧐 The Scoop: After years of resident complaints, Houston's City Council plans to introduce an ordinance this fall to regulate short-term rentals (STRs). The proposed regulations aim to address issues related to noise and safety in neighborhoods. khou.com

🎯 Relevance: For STR operators in Houston, it's essential to stay informed about these upcoming regulations to ensure compliance and adapt business practices accordingly.

US Mortgage Market

Mortgage Rates Remain Above 7%

🧐 The Scoop: Mortgage rates relatively flat this week, with the 30-year fixed rate averaging around 7.00%.

🎯 Relevance: High mortgage rates continue to impact purchasing decisions and sellers continue holding onto lower rate mortgages.

US Housing Market Shifts

Homeowners Reducing Prices as Buyers Hesitate

🧐 The Scoop: Rising numbers of homeowners lower their listing prices due to high mortgage rates deterring buyers. This trend has provided buyers with increased negotiating power not seen in five years. Some good deals are being made.

🎯 Relevance: For investors, this shift suggests a rising numbers of opportunities to acquire properties at more favorable prices. Monitoring local market dynamics can help in identifying optimal purchasing moments.

US Airbnb Policy Updates

Airbnb Updates Cancellation Policies

🧐 The Scoop: Airbnb has introduced a new "Limited" cancellation policy, allowing guests to cancel up to 14 days before check-in for a full refund. Additionally, the "Strict" policy will no longer be available after January 20, 2025. airbnb.com

🎯 Relevance: Hosts should review and adjust their cancellation policies to align with these updates, ensuring they meet their business needs while accommodating guest flexibility.

US Economic Trends Affecting STRs

Potential Elimination of Consumer Financial Protection Bureau Raises Concerns

🧐 The Scoop: The Trump administration's proposal to dismantle the Consumer Financial Protection Bureau (CFPB) has raised concerns about the future of consumer protections in the housing market. Seen as great news for many, and a concern for others.

🎯 Relevance: The potential elimination of the CFPB could lead to less oversight in mortgage lending and rental practices, possibly affecting financing options and consumer trust. Staying informed on this development is advisable, it may impact your borrowing capacity in the future.

US Travel & Tourism Trends

Traveler Demand Shifts Amid High Costs

🧐 The Scoop: With rising travel costs and inflation squeezing consumer budgets, travelers are seeking more value-driven options. Vacationers are increasingly opting for off-season stays, mid-tier accommodations, and alternative lodging models like home-swapping to offset expenses. Meanwhile, hotel pricing remains high, making well-positioned short-term rentals an attractive alternative.

🎯 Relevance: STR investors should pay attention to shifting traveler preferences—targeting off-peak seasons, optimizing pricing strategies, and offering flexible stays to attract budget-conscious travelers looking for better value. This trend could drive demand for STRs that offer a unique experience at a competitive rate.

US Builder Trends

Homebuilders' Sentiment Declines Due to Tariff Concerns

🧐 The Scoop: In February, homebuilder optimism declined due to concerns about proposed tariffs, affecting a housing market already struggling with affordability.

🎯 Relevance: For investors, this decline in builder sentiment may signal potential slowdowns in new housing developments, affecting future supply and investment opportunities.

International Vacation Home & Travel Trends

European Cities Implement Stricter Short-Term Rental Regulations

🧐 The Scoop: Cities across Europe, including Athens and various locales in Spain, are enforcing stricter regulations on short-term rentals to combat housing shortages and preserve local communities. Measures include banning new short-term rental registrations and imposing higher taxes on non-resident property owners. theguardian.com

🎯 Relevance: For investors eyeing international markets, these regulatory changes underscore the importance of thorough market research and understanding local laws to ensure compliance and assess investment viability.

Other Buzz

• FTC to Require Upfront Disclosure of Extra Fees – The Federal Trade Commission will soon require short-term rental platforms, hotels, and event promoters to disclose all additional fees upfront.

• Airbnb Implements Anti-Party Technology – To curb unauthorized parties, Airbnb is rolling out AI-powered technology to block high-risk bookings during holiday weekends.

• Airbnb’s Stealth Lobbying in NYC – Airbnb has reportedly been funding advocacy groups that appear independent but are working to influence short-term rental regulations in favor of short-term rental operators.

Key Takeaways & Ideas

• Regulatory Climate – Short-term rental regulations are evolving rapidly in various regions. Staying informed about local and international policy changes is essential for compliance and strategic planning.

• Market Trends – The implementation of stricter regulations in key markets may lead to reduced competition in certain areas. This could present opportunities for compliant operators to capture increased demand.

• Investment Considerations – Investors should conduct comprehensive due diligence, considering both current regulations and potential legislative changes, to make informed decisions about property acquisitions and operations.

🏠 The short-term rental industry faces both challenges and transformations as we move through early 2025. A Colorado family's cautionary tale about nearly losing $1,300 due to Airbnb's strict cancellation policies highlights the importance of understanding booking terms and conditions. This comes as some hosts are seeing notable success, with certain states' Airbnb hosts reporting significantly higher earnings than others. However, there's also a growing trend of hosts quitting the platform, signaling potential market shifts.

🏛️ Regulatory battles and corporate developments are reshaping the STR landscape. In Dallas, short-term rental operators celebrated a victory as an appellate court ruled against city ordinances attempting to restrict their operations in residential areas. Meanwhile, Washington state is considering controversial legislation that would tax short-term rentals to fund affordable housing, drawing strong opposition from Airbnb. The company itself is making headlines as CEO Brian Chesky sold $185 million in stock, while the platform works on integrating AI capabilities, though reports suggest some reality checks in this arena.

🎉 The travel sector shows evolving preferences and new opportunities. For those still in the STR game, there's growing demand for specific niches, such as bachelorette party destinations. The industry is also seeing the emergence of new digital nomad hotspots, while Tripadvisor's latest rankings showcase the world's best beaches for 2025. Mexico continues to attract attention with its three safest beach destinations gaining prominence.

💰 The broader housing market presents a complex picture. Home construction projects are stalling as builder outlook plunges, though Toll Brothers remains optimistic despite the general downturn in builder stocks. The market faces an unusual dynamic with plenty of sellers but few buyers. Florida's housing market shows some positive signs with rising new listings and inventory in January, while national existing home sales, though down 4.9% monthly, marked their fourth consecutive year-over-year increase.

📈 Financial metrics reveal concerning trends across multiple sectors. Consumer credit card debt has reached historic highs, with delinquencies suddenly spiking. Floridians particularly are struggling with credit card debt, though many are actively seeking solutions. The auto loan market shows similar stress, with both prime and subprime delinquencies rising significantly.

🏦 The mortgage and housing finance landscape continues to evolve. While mortgage rates have hit a two-month low, home prices remain elevated. The housing debt-to-income ratio and serious delinquencies are drawing attention, with HELOCs becoming increasingly prevalent. Forbearance requests are rising, though MBA data shows exits currently outpacing new entries.

⚖️ Regulatory changes and investment strategies adapt to market conditions. The IRS faces potential layoffs, which could impact tax enforcement and services. Real estate investors are developing new strategies for flipping and buying rentals, with some sharing their successful approaches to maintaining profitability in the current market. Housing market values showed significant changes through December 2024, according to Redfin's latest analysis.

🏘️ Significant fee changes may be on the horizon for property owners. Reports indicate that substantial fee increases could be coming, adding another layer of complexity to the already challenging market conditions for real estate investors and property managers.

📈 Market anxiety intensifies as inflation fears grip Wall Street. The Dow Jones responds to renewed price pressure concerns, with investors closely watching Federal Reserve signals and positioning themselves amid the uncertainty in recent market movements.

📊 Weekly Housing & Economic Trends (Feb 21, 2025)

This week, the U.S. housing market faced challenges as existing-home sales declined and mortgage rates remained elevated. Economic indicators reflected mixed signals, with manufacturing activity rebounding while housing starts dropped sharply.

🏡 Housing Market Trends

Data sourced from recent housing market analyses.

📅 Economic Calendar

Data compiled from recent economic reports.

📌 Notable Observations:

• Housing Starts Decline: Housing starts fell from 1.515M to 1.366M, marking a significant drop of 149K units. This suggests builders may be slowing new construction due to weaker demand or rising costs.

• Existing Home Sales Slip: Sales declined from 4.29M to 4.08M, reflecting ongoing affordability challenges as mortgage rates remain elevated.

• Inventory Growth Continues: Housing inventory increased 3.5% from last month and is up 16.8% YoY, signaling a potential shift towards a buyer’s market.

• Empire Manufacturing Index Rebounds: The index jumped from -12.6 to 5.7, indicating a surprising recovery in manufacturing activity despite broader economic concerns.

🔍 Key Takeaway:

Falling housing starts and declining sales indicate a cooling market, while rising inventory provides buyers with more negotiating power. However, resilience in manufacturing and consumer spending suggests a glimmer of buyer demand may still exist.

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