FHA 203k and house hack

[Adam Spencer]

Hey guys I am excited to say I will be closing on my first deal this week! Its been a long road and some last minute paper work issues but we are good to go finally.  So I will be using a 203 for the rehab on a 3bd/2ba home I plan on living in a for a few years and renting out the 2 extra rooms.  I am looking for any advice on renting out rooms.  Should I do month to month or make them sign a lease? Its in a college town so i'm thinking a year lease would be good so I don't end up with vacant rooms in the summer.  

Also I plan on turning this into a full rental once I can refi out of the FHA so I wonder if you guys have any tips on the rehab as far as cost savings and material recommendations? I am doing a new roof, Kitchen, Full Bath, Flooring and some electrical. I am thinking lower cost but also durable if that is possible :).

Thanks in advance for the comments and tips