I would max the VA loan out too because once you use it one time there is a cap on it if you try to use it again.

Definitely lays out some of the challenges we all go through in real estate investing (you are not alone).You definitely hit the nail on the head......Things will always take longer and cost more!

@Jason Richards pretty much hit the nail on the head.

@Jonathan Greene hit the nail on the head with his replies.

The wood rot is in sections all over, some small, and some more extensive, because the previous owner didn't use the correct size sheets and never sealed seams or nail holes.

Fix any nails or rough edges though and give them a timeline.

I have to fill nail holes and paint/touch up walls.   

I have not nailed down a rental price and chose low for the area to ensure I can make this work.  

@Bryan Mitchell Thank you for the response, pretty much hit the nail on the head.

@Sheryl Sitman nailed this as it pertains to Philly and many other cities.