The short answer to your question is yes, but it has to be done right.

Parts are correct as far as the "can and can't do's", but where he goes from there as far as how that hurts you is very, very short sighted. 

I am not from Charlotte but will be moving there shortly. 

I realized that life is short and I want to be able to spend as much time as I can outside of a 9-5 and traveling alone 50% of the month. 

This business relies heavily on relationships which is why I think this is such a crucial action to do if you are looking to invest in a market.Long story short is I whole heartedly believe if you are looking to invest out of state you need to take the time to go out there for yourself and see the city/market in person.

Short of tearing out all the sheetrock, we did everything all new.

Talk with @Scott Smith for specialized advice on how to properly setup this.But, in short, you need insurance regardless, and you might want asset protection if you have cash flow and/or equity to protect.

My short-term debt has me feeling a bit uneasy. 

For anyone still interested, your best bet here is to find property that's in walking distance or a short drive to the campus.

The city will likely be the one to govern short term rental policy.