Anti-flip overlays are actually very common, especially for jumbo loan amounts, but also retail banks.The ambiguity associated with "once reviewed by our quality review department will indicate if the property is truly a flip and how we proceed" & the fact that it could simply trigger a "loan denied" for reasons unclear to you is always the price paid for accepting an offer from a buyer using a big bank.You can try starting over with a new buyer or a new lender, if you like.

But I am anti property management.  

I know a lot of my posts can come across as anti-RE, which is not my intention.

A bit late to the thread, but based on personal experience trying to figure out something similar I ended up giving up on the idea of house hacking and just moved across the river to Jersey CityFrankly, the city income tax wasn't worth it and neither are the anti-landlord laws.

I will tell you I am anti-big bank.

Applicants can leave reviews on social media and get you a reputation as the 'anti gun landlord' even though that isn't the case.

It is like she just joined BP to ask that one question, intentionally to stoke the anti-Morris sentiment here. 

But I now run food grade anti freeze through the lines as I added 2.5 baths & a 23x12 kitchen all with extensive Pex plumbing.

PRO TIP:  With all the anti-STR activity, if the seller is the one creating/incorporating/organizing the HOA (or if the seller still has control of the HOA), have part of the deal include that both of your units be "guaranteed" to be able to be used as STRs (as long as municipal ordinances don't specifically forbid it). 

Dave Ramsey, who I really like, is very anti-debt.