The good/bad zip codes depend on what type of property you are looking for.

Check out Section 121 of the Internal Revenue Code to learn a bit more.

Look up section 179 in the IRS code.

The NC code you pointed out § 160D‑1207 deals with inspections and does limit the local governments and HOAs legal options to regulate and has been in force since 2019 and clarified since, but unfortunately just a quick Google search shows cases even still today winding through the NC courts which shows govts and HOAs trying to illegally regulate. 

I stay away from city STRs for the reasons you mentioned with code enforcement. 

Avoid areas where deals only work if rents grow aggressively or appreciation saves the math.Because you’re out of state, your local team matters more than the zip code.

Safety and code compliance come first.GFCIs where required.

It seems like a lot of the tax code is up for interpretation, so if you can legitimately justify it through documentation, it flies. 

.❌ ... in a completely different Zip Code from the subject property...❌ ... across the Ohio River and two miles away by car!

I haven’t filed the ADU permit yet as the code office said once it’s filed it’s permanent and can’t be changed to multi family.