I live in Memphis, and I know that in Nashville this year they passed a law requiring Airbnb hosts to obtain an annual license and also they are now required to pay hotel-type occupancy taxes.  

Because of this, we're unsure of pricing and what kind of occupancy to anticipate.  

While your closing can be exempt as a commercial transaction, your buyer won't be if they are to be owner occupants.

Say you shoot for a four plex, the three other units income could help  you bridge the gap, you will still get the lower interest rate being an owner occupant and I believe that with FHA you will need to live in the property for at least one year before moving to your next investment.

I only sell to businesses and require an occupancy affidavit to further document the commercial nature of the transaction.  

I am interested in a property that is in owner occupant stage.  

@Wade Stahle Not likely unless you can somehow sell it to yourself (i.e. have an unrelated company build the house and sell it to you as an owner occupant house).  

Cash out refi - use the equity as downpayment for another investment property w/ 20% down either in state or out of state...OR towards another owner-occupied residence where I can put 3.5-5% down after I satisfy my owner-occupancy.2.

Here's the story as it pertains to a friend of mine.He moved into a home, with a lease to own option.He put a significant amount of money down on the home.The current mortage holder, who does not live in the home, leases the home to my friend.The current mortgage holder does not pay the mortgage on time.The home is in foreclosure now, 30 days from the final "date" pf foreclosure, when the occupants are given 20-60 days to vacate the premise.Some investors want to buy the home from my friend for 165K and sell it back for 220K.

Hi Dan,What is your current occupation?