Short term rentals impose costs on the local community (parking, noise, increased demands on infrastructure), so regulation is completely justified.

I am a long term investor (hold or perpetuity) so I am confident over time cash flow will slowly increase as will appreciation.

I would rather have 4 Class A properties than 20 Class C properties (20 roofs to replace, HVAC, more tenant issues, property management fees, AC unit stolen, etc).Wealth from real estate is built on appreciation and equity - look at all the multi-millionaires in coastal California whose property values have gone up dramatically over the years and our property taxes increase 2% a year from the base value (Proposition 13) compared to other states whose taxes go up a lot.

Buyer to confirm all information is common standard.

Can you increase your personal income with a new job? 

And the property assessment would need to be changed, and of course, taxes increased, as well as separate utilities.

It's much better to drop your price and get great tenants than to keep it high and lower your standards. 

I don't think private lenders would have this requirement, unless title companies encourage wet sign as standard practice.

You would need new approvals from Regional Planning and Building & Safety for the re-conversion to meet applicable single-family residential development standards under Title 22 (Zoning) of the County Code.”I asked to see the actual covenant document but was given only sample language.

Cash-out at 80% is not the norm but it does exist.  75% is more of a standard and some lenders even are holding to 70%.