My current preference is the first option as I’d like to minimize our oversight, but any perspectives on this matter?

Specifically flooring and tile options.

It's important to communicate with your lender as soon as possible to discuss your options.

If you're doing a rate and term refinance, there's typically not a seasoning period but again it's common for lenders to require it be rented first.If you're doing a DSCR cash out refi, it may not need to be rented first but you're probably paying a higher rate.Your best option is to call a loan broker you trust and go through the options based on your current situation.

but the exit was the lease option.. 

You’re thinking strategically, and it’s great to see you weighing all your options before making a move.

Quote from @Ben Fernandez: Gotcha...I like your goals utilizing the lease option.

We are renting them on Airbnb and on our site as wedding but yes Airbnb does not have that option yet.

The Meter Save program was discontinued in Chicago in 2022 and it seems there are no viable options that I qualify for (I’ve looked at the department of waters options and I don’t fit the qualifications).this feels like I’m getting ripped off each month in the bill and am really needing support here.

Keep those parameters in mind as well.Lastly, A great HML would have options for you to transition into after your loan term ends with them.Best of luck to you on your journey!!!