I'd love to hear different perspectives and insights on this.On a personal note, I'm a husband and father of two.

I haven’t personally heard of anyone going the SB1079 route, but I have done some research on it.

For test 2 there are three ways to pass this: 1. 500 hours materially participating in the rental activity2. 100 hours and more then anyone else3. perform all substantial services. 

Plenty of STRs that perform just as good as the pool STRs because they have a great design, location, or other fun amenities that have less liability and headache.

My wife and I own it together, but i may be able to buy her out and keep it as a short-term rental without spending all my personal capital.I’m looking for advice on financing options, buyout strategies, and any creative solutions others have used in similar situations.

It is very common for the typical bank mortgage person to make this mistake. 

You are correct they handle by PM company liability I have prudential personal liability.OK, yeah, and they (Coterie) doesn't offer commercial umbrella insurance (or personal) so I was concerned you might not be covered correctly.You have a personal liability umbrella through Prudential?  

The challenge with the BP forums is that they perform poorly on mobile in their current form.

You will be personally sued along with your LLC.  

(I assume you won’t find a 1 hour a day type person.