@Nate Julian -  If the rents are below market for their current condition regardless of any improvements needed...then by all means raise rent on the current month-to-month occupants. 

Hey Guys,I know most banks require a 1 year occupancy requirement on these loans.

There should be a form in your closing package titled Occupancy Affidavit and Financial Status.

If the landlord consents to the tenant's continued occupancy, Section 27-40-310(d) applies.

So pending on which state it's in 100% occupied you should have much trouble vs 0 occupied where you have to give them a plan of action of rehab and occupancy timelines. cap rate and or ROI, rental history plays a factor as wellThis is past you having sufficient downpayment and worthy credit.

I haven't found one yet or I'd be shouting about it from the rooftops.For owner occupant 80/10/10, we almost all use the exact same bank for the HELOC, and that's TCF Bank.

I'm curious to see from experienced investor what the average occupancy is for short term rentals.Based on what I see on sites like Airbnb, HomeAway and VRBO it looks like during the winter no more than 25% of occupancy.

Soon after, we attempted to obtain a rental license for the property only to find out that the certificate of occupancy was invalid because the use permit stated the property was a two unit and not a three unit.

The economic occupancy on the property is low.

Meanwhile, find and qualify for the FHA owner/occupant investor loan.