The behavior is a bit off, but not surprising for a mom & pop landlord.We tell our residents exactly what we need from them for the application. 

I was just on their website looking at the permit process:CityofSac-STR PermitLooks like 90 days max until you get a conditional use permit but still reading as it seems a little unclear:A short-term vacation rental may operate from a location that is not the operator's primary residence for a total of 90 days in a calendar year.

Quote from @Khon Kounbandith: Investment Info:Single-family residence fix & flip investment.

Quote from @Irina Badal: I heard for anonymity purpose it’s advisable to set up a personal residence trust.

@Heather Bailey When house hacking with a separate rental unit, ensure proper insurance by obtaining landlord or short-term rental coverage tailored for Airbnb activities, in addition to your primary residence policy.

If my target would be low income residents, are there any grants, tax credits, or funds available to help me with the conversion? 

We work with lots of clients from both coasts, but especially from CA, helping them find investment properties with residents in place under 2 year leases from day 1!

So they price those homes at what a willing homeowner will pay for their personal residence.

Just be sure to clarify that she isn’t a leaseholder but is authorized to reside in the unit.If you’re concerned about liability or want more peace of mind, you could ask the primary applicant for additional security, such as a higher deposit, depending on what’s allowed under Colorado law. 

In markets where affordability and cash flow are tough, focusing on stable, long-term rental markets with strong resident demand can make all the difference.It’s completely understandable to feel cautious after missing opportunities in the past, but real estate has always been about timing and strategy.