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- ⛈️The Perfect Storm for STR Investors: Q4 2025
⛈️The Perfect Storm for STR Investors: Q4 2025
Lower payments + huge first-year tax savings — act before year-end.

October 12th, 2025
Good evening STR Report Community, and welcome to a special edition of The STR Report!
In today’s issue, you will find:
📱Special Edition: ⛈️The Perfect Storm for STR Investors: Q4 2025
📬 See our collection of newsletters here: Prior Newsletters
⛈️The Perfect Storm for STR Investors:
Q4 2025
Two major developments are reshaping the short-term rental investment landscape— and together, they make this one of the most favorable quarters we’ve seen in years.
✅ Fed Rate Cuts
✅ 100% Bonus Depreciation (for properties placed in service by year-end)
This combination doesn’t come around often. Here’s what it means for your investment strategy.
1. Lower Borrowing Costs = Better Cash Flow
The Federal Reserve’s recent rate cuts are directly lowering borrowing costs.
That translates to smaller monthly mortgage payments, higher cash flow, and more room to maneuver on new acquisitions.
Whether you’re buying your first STR or refinancing, this move opens the door to stronger deal metrics.
2. 100% Bonus Depreciation = Faster Tax Write-Offs
Under current tax rules, any STR placed in service this year still qualifies for 100% bonus depreciation.
That means you can immediately deduct the cost of certain improvements — like furniture, appliances, flooring, and more — instead of spreading deductions over decades.
It’s one of the most powerful tax strategies available to active real estate investors.
Example: Turning Tax Rules into Real Savings
Imagine purchasing a $500K STR this fall, spending $20K on furnishings, and conducting a cost segregation study.
If $130K of the property qualifies for bonus depreciation — and you’re in a 35% tax bracket —
that’s a potential $45,500 tax savings in year one.
3. Ready-to-Go Experts to Help You Move Fast
Bottom Line: Act Before Year-End
Lower payments + immediate tax savings = a rare investment window.
If you’ve been waiting for the right time to expand your STR portfolio or refinance, this is it.
Get in touch with the team that handles all the work for you - finding the right market & home, stand out design, & expert property management. ↓
Disclaimer: Some of the products, services, or partners featured in this newsletter may be part of a paid sponsorship. We only promote companies we trust and believe can bring value to our readers.
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