Hey Jake, If your exit strategy is to pay off the balance asap, I would advise doing a HELOC.But I would consider a traditional refinance if you do not have an exit strategy lined up to pay the balance off immediately  and your blended rate (1st + 2nd Mortgage) is significantly higher than a standard cash out refinance. 

And under that definition, because there was no minimum time in the CZO for how long someone needed to occupy a structure to be considered "living" there, the court used literal dictionary definitions (standard practice in NH as can be seen in the similar case Working Stiff Partners v City of Portsmouth) to determine what constituted "living as a household" as it concerns STRs.The court explicity rejected the idea that this ruling should have larger implications for STRs around the state, and it certainly did not at all in any way prevent municipalities from regulating STRs.

I have practiced real estate and this is my third personal investment so I am more savvy than most, some people really would get screwed out of a good deal in a process like this for no good reason.

@Rob Ibarra Converting non restaurant space into restaurant space can be fairly costly from what I understand due to the need for larger than standard water lines to service the building and a general need for grease traps and other restaurant specific infrastructure.My first question around going from abandoned auto shop to kitchen is zoning, could you even get the use approved, and then are their any environmental factors in play? 

Additional relevant provisions in the contracts:"Title Evidence and Insurance: a title insurance commitment issued by a Florida licensed title insurer, with legible copies of instruments listed as exceptions attached thereto ("Title Commitment") and, after Closing, an owner's policy of title insurance (see STANDARD A for terms) shall be obtained by the Buyer. 

That would give me enough time to repair the house to meet conventional standards and force equity for the cash out LTV %.

Here are some practical strategies to help you navigate the process.Start by understanding the local real estate market.

@Mauricio Quintana from what I understand, you can charge what you deem to be market rent regardless of the payment standard set up by section 8.

The book provides practical advice and insights, making it a great starting point for beginners.

Myself and family truly loved the property and house; just want others opinions on if this may be a mistake to proceed, or does this appear common practice for the age and location (upstate New York).