Fedex provides different shipping rates if delivered to a residential or commercial address. This has to be determined at the time of the order. There isn't an option for the customer to select if it's a home or business shipping address.
 
Is it there and I'm overlooking it?
 
Thanks :)

No but you can make your own custom option to be displayed in the "personal information" form and that can have a cost associated to it. You can do this by going into Orders>Orders Profile Page>Add new custom field and give it two options (and make it required). The home option can attract a surcharge and the business option not.