In New York, there is a pretty high bar that a property owner has to meet before a variance can be granted. 

Seems most lenders I have spoken with have no idea about lending outside of traditional owner occupied residential 

Whether you're a wholesaler looking to flip a profit,  short term rental owner, value investor or purchasing a legacy property for your family, nobody wants to overpay or invest and rarely is worthwhile attention provided to rough deals or tales of caution.Anyone investing in real estate long enough, has cliche's: It's not as easy as it looks would be a common theme, another might be, expect the unexpected?

This owner literally puts as little into their property as possible, even the  tenants say so.

There is also renewed focus on potential mortgage fraud (people lying that they intend to use it as a rental property when they are planning to live in the property, knowing they can't qualify for a conventional owner-occ loan). 

I did also include a pet addendum and mold addendum standard here in Florida.  

For one of my 3/2 houses, a DEEP clean (w/o pets) is around $300-$400, and they clean top to bottom. 

Only owner-occupied loans go below 20%-25%. 

If it's a high-traffic backyard with pets and kids, they will chew up new grass in no time.

In either situation, the LLC isn't protecting you in any substantial way as you personally remain the owner and liable if someone wishes to file a lawsuit.