But now you are opening yourself up to a possible increase in your rate, as it is adjustable and can go up.

You may get one more year from them with a $75 increase but that's about all.

Its a nice little cheat/loophole on the mortgage side that can help afford a larger home pice and increase your chances of getting a home or other loans.If you have any questions feel free to reach out I am always happy to help and go over the basics.

We all know 'housing affordability' is one of the hottest political topics as of late but I'm not seeing any commitments to increase inventory. 

The 401k is a valuable asset but its my thought that I can use this asset to further increase my portfolio by putting that money to better use.

But, for instance, I sent them a notice of rent increase effective February 1 and needed them to confirm that they have accepted the new payment terms through our electronic payment system, and even after repeated notices, they are not responding.

However, San Diego is an extreme case.However rents increase fast in San Diego.  

Follow up with an email to the agent and bullet point your case, which increases the chance that the owner will actually hear them7.)

Is it best to simply increase rent by a fixed amount (e.g., $700) to cover this, or are there other strategies for handling utilities in this situation?

Typically its done for open space or use for community property (ie. fire station location or other county use) and typicaly would assist in increasing tax base.