What are your non-negotiable factors vs nice to haves?

The allocation was non pro-rata.   

Even if you create a non-CA LLC, if you are managing the business from California, you will likely be deemed to be "doing business" in California and therefore likely subject to CA taxes.

Because the property tax as a non-owner occupied property is about 3-4 times the amount of a owner occupied property.  

Hard money is a type of business loan for non-owner occupying investors.

., turning a residential property into a commercial property)-Temporary Structures-Non-Residential Buildings (e.g., barns, stables)FHA 203(k)Minimum Down Payment: 3.5%Minimum Credit Score: 620Minimum Loan Amount: $50,000Maximum Loan Amount: $524,225Occupancy Types: Primary Residence ONLYUnit Maximum: 4 UnitsAcceptable Renovations:-Structural Improvements/Reconstruction (e.g., adding rooms, bathrooms)-Cosmetic Enhancements-Eliminate Health and Safety Hazards-Energy Efficiency Improvements-Major Landscaping (e.g., grading, tree removal, adding walkways)Non-Acceptable Renovations:-Luxury Items-Commercial Use-Temporary Structures-Non-Residential BuildingsBoth of these renovation loans are similar in many ways, but the key differences are:1.

Lastly, ADUs are allowed for NON owner occupied properties, opening this strategy up for investors who could convert a SF into two units. 

If you had no knowledge and they broke the lease I'd issue a notice of non renewal, but give them the option to remove the cats.

The "non conforming" lending options are actually called NonQM (non qualified mortgages).

One of my tenants does this but in a non creepy/annoying way.