I agree with what others above said, that having a reliable, honest and knowledgeable team is the most important thing...more so than perhaps the location. 

I'm curious as to what's important specifically about the FHA loan?

How you use the equity will be important. 

This deal reinforced the importance of seizing opportunities for quick flips when a property is market-ready.

I do not think they regulate this strictly on other industries like food service, or even medical.Sounds like the mayor or city planner or someone "important" had a bad stay at a STR somewhere.

Quote from @James Wise: Quote from @Chris Seveney: Quote from @Bruce Woodruff: I saw @james wise thread on the fires in general but here are some other thoughts now that this has grown , I think it's important and very interesting...a) What will happen with CA insurance?

I 100% agree with the intent aspect and that is an important premise, but the fact is in this particular situation intent for it to be personal use has been confirmed (by way of a public post).

Also the screening process is very important. 

As you embark on this adventure, it's important to equip yourself with knowledge and a solid strategy.

Presentation and delivery is MORE important than content because that comes first.