I  have a detailed reply above that explains it and provides the code citation to read as well

Banks can refinance a rental property under an LLC, but it sounds like you would really benefit from investor-specific consulting and lending.

Generally larger commercial properties and shopping centers are easier to classify with hard and fast rules, but to the points above the residential areas really move very quickly and have way more nuance than most people care to admit.zip codes are generally way too large for my liking at least in my market to provide any kind of insights other than macro level economics but even then highways or rivers that cut through a zip code can end up with totally different trade areas.we can get pretty granular with cellphone data and with grocery center data to understand the trade areas and their true boundaries, but that kind of data pull is generally only cost effective for investors doing larger scale projects or developments, and honestly we still just end up getting on the ground and feeling it out, so I generally tell people that the money is better spent on a plane ticket and weekend trip in the area you are looking rather than any kind of "trade area" level data studies.and generally B class in 1 area means something different than another. 

Show sellers how working with you benefits them and how you can simplify their challenges.Respect Is Everything: Be honest, authentic, and reliable.

You’ll likely need to look beyond the city limits (in areas that are still close enough to the city to benefit from its local economic tailwinds) if you want to find deals that pencil out.

I'm very new to investing and weighing which options would benefit me the most.Option 1:  Use the cash as down payment on another primary residence and rent out the current.

I also did a local renovation in 2022 bringing it up code.

The things that get me are: Liberal politics in the city - this may be a benefit though, since they probably allocate a lot for affordable shelter and the Sec 8 is all but guaranteed. 

I think the testimony of many on this web site would indicate there is great financial benefit from taking either of those approaches.

@Cole Harris what's the benefit of making the move?