Should I just have the utilities included in a higher rent for the month-to-month-lease and then reduce the rent down to local comps for the 1 year lease? 

There are too many ways it can go wrong.It's also bad policy to reduce the rent for anything.

Since inventory has reduced in southside and westside beltline neighborhoods and with all the developments going on, i feel like prices will continue going up at a faster than normal rate. 

Burdened with a vulnerable and helpless feeling, I agreed to accept ABC Baltimore’s reduced offer of $95k and closed the buy—back with ABC (we still had to pay closing costs).

The idea of this monster hack would be not only to reduce my $1,450.00 nut to live in a condo, where I probably spend only 1/3 of my time in (since I’m at work), I am also looking at attempting to deducting a bulk of the necessary utilities I just pay for with after tax dollars since my businesses (the law office) and the renting out the rooms will generate these expenses.

All depends on what the outside temperature is, AC units are only expected to reduce the inside temp by 25-30 degrees and that is largely dependent on the energy efficiency of the insulation and windows.

The S-corporation + W2 salary technique is used to reduce self-employment (Soc Security / Medicare) tax.

I can't imagine your own comp not reducing your appraised value if you got it at a nice discount though! 

I reduced my HVAC calls by 95% when I started providing tenants with air filters.Each year, when the lease automatically renews, I send each of my tenants a case containing 12 cheapo air filters from Amazon.

This includes operating your heating and air-conditioning system as appropriate to reduce humidity, using appropriate ventilation, limiting evaporation of water, promptly removing any visible mold, and immediately reporting to us any leaks or other water intrusion into your apartment or any visible mold that you cannot remove.