I also went thru a nightmare situation with them for two years. 

Hey folks,Posting here because I couldn’t find a recent (past two year) answer about using Fannie Mae / FHA 203k etc loans for a house hack in DFW.

Keep the wood (or sheetrock if you choose) an inch or two off the floor to not wick water.

This is going to do two things to help you in the future to free up your VA entitlement so you can buy another home 100%. 

Quote from @Mike Grudzien: Two thoughts:1) stay in your STR for a day or two and you'll discover things it needs or that would be nice to add2) use several touch-points to communicate with Travelers/Guests.

If we’re able to squeeze a brew or two in, that’s even better.

And the reason why your "tale of two halves" will play out as you described.Demand:  This has actually been high almost all along, but rent growth hasn't materialized in response due to high levels of new supply. 

I’m weighing two options for our housing situation and would greatly appreciate your advice, given the complexities involved.1.Renovate and Buy Another Property•Invest to renovate our current home adding a bedroom to the house given our family outgrew the house.

You may even find one or two who won't mind if you shadow a project they currently have going. 

All things being equal, I would accept these applicants, but I would require them to pay a deposit equal to two months of rent.