Speed, certainty to close, and flexibility around credit and liquidity usually matter more in practice.

Practically speaking, the path forward usually involves confirming whether the restriction is actively enforced, whether there’s any amendment or variance process, or whether alternative uses (home office, guest space, storage, etc.) make more sense short-term.

Don't forget to convert the utilities to yourself if they are separate.A landlord best practice is to always change the locks when there is a turnover regardless of the tenant returning the keys to you.

In practice, that flexibility often matters more than the headline rate.

I see a lot of new investors debating BRRR vs fix & flip, and I think the framing itself is usually the problem.In practice, the bigger decision isn’t the strategy.

Quote from @Pratik Patel: Quote from @Drew Sygit: Quote from @Pratik Patel: Thank you Samuel for your input.Holding on to this property as a long term rental will lead to negative return on my investment so that is not practical.

How are insurance requirements enforced in practice, what indemnification language is built into the lease, and what rights does the owner retain to approve vendors and verify compliance?

Looking at lower-priced or heavy rehab properties, partnering, or using portfolio DSCR lenders can be practical paths while you build lending relationships.

The building is right in downtown, a prime location, and a local couple reached out asking if we'd consider renting the space for their new dental hygiene practice. 

Your table shows the right concept but a couple practical adjustments: for STRs specifically, the 25-30% reclassification range is pretty standard for typical single-family properties.