I have looked into getting non-conforming use permits, conditional use permits, zoning use variance requests, etc. but this process could still be very lengthy and I'm afraid this will open a can of worms that will cause the county to further look into it and raise more issues.My main concern/worry is that when it comes time to refinance the property after the (minor) rehab has been done, lenders may not finance the property on a long-term loan due to a non-conforming use of the property.

Hanan, you raise some great questions -1) I don't recommend advertising a "rent relief plan" but have one available if needed.

Did they contact you the last time they got a raise and ask to pay more rent?

My was goal was to flip and raise capital to invest in long term hold. 

Very simply put, the US is in a difficult position where if they raise rates, debt becomes harder and more expensive to pay off.

Until today, the lender had been cagey, which raised my antennae.  

Two weeks ago I got a call from my previous boss offering me a position near Portland, OR with a decent raise, doing work similar to what I do now.Obviously there are a lot of factors to take into account when considering that big of a move, but the one that's hanging on my mind the most is what I should do with my current home.

Of course, just raising the rent and marketing as water included could work, but you are still liable for changes in the water bills.It has been mentioned in other forums that various municipalities limit what and how much can be billed back to tenants, so I would check those out first. 

Purchased at $950,000, raised the capital from private investors.

It will raise the value of your home and allow you to ultimately borrow more.