Property is exempt from STR permitting because the jurisdiction considers it to be a commercial lodging establishment.We've been pursuing an SBA 504 loan for it, which was going well until we discovered that the sellers have operated it only part-time the last 12 years -- intentionally blocking 60% of available room-nights because they just weren't up for running it full time in their retirement. 

I'm building a new MF house, targeting travel medics.

And there could be some carve out exemptions for seller financing and if so then that would possibly need to be filed with the California's DFPI.Research local escrow companies and banks to see if any of them do contract loan servicing.

SFH are statewide exempt from rent control due to costa Hawkins.   

One of the most common derogatories are medical expenses.

What if you run into medical or financial trouble? 

If you are moving it from a personal name to an LLC there is an exemption form for taxes you also have to fill out and file along with transferring the deed.

I can't see a reason in the world to sell it to an LLC now since you want to maintain your husband and wife tax exemption on the future capital gain as a primary residence, but since it's rented now you may want to consult on that.

@Mohammad Khudirat, congrats and best of luck both on your medical AND your RE investment journey!

Have you been targeting travel medical professionals specifically through amenities, location, etc.?