We have spoken with them and pretty strict covenants as well as Axos bank

The building codes are pretty strict. 

Honestly seems like a little overkill on this decision - unless its strictly a rate-term refinance because rates have dropped, it usually just should come down to a side by side comparison of status quo vs. refinanced (+ how any cash-out capital is deployed)

.- Many of these HCOL areas also have strict limitations on AirBnB or short-term rentals... that do not apply to owner-occupants - thus allowing for extreme cashflow potential for house-hackers.

One is strictly investment, where the neighborhood/location is not important just the potential for upside and low cost living.

Strictly analytical speaking you cannot make a financial case for unleveraged investing in real estate.

That is strictly from a scalability stain point.

In Pittsburgh, wholesaling is legal, but PA has strict rules about how it's conducted.

So I'll wager that if it all does start to unravel it won't be until after a few deals go sour and people start suing each other. 

Those who have no cars or don't drive cannot simply walk into the parking lot to attend.If applied to residentials, such strict guidelines could mean (I hope not) nobody can be moved out of their apartment for any reason at all because all have to remain indoors indefinitely.