On a separate but related note, I just received my homeowners renewal in FL.  

But  They are also taking the full cleaning fee as well separately …is this normal practice?

In doing this you've likely committed fraud since your entire intention was always to close with the 2nd at 100% LTV...I've watched the video where Pace describes this and in essence he says that treating them as two separate transactions is fine and there's no need to tell the lender.

I separately end that paragraph with: “Landlord encourages the use of email for all non-emergency communications or as a follow-up to emergency phone call(s)/message(s).”

I looked at the photos and the rooms look nice, but it is still a hotel room-a sitting area, sleeping area, small counter with a sink and coffee area and a separate bathroom. 

He also owned a separate warehouse next door worth $600k and owed $400k.  

This is why people don't like renting to friends/family because its human nature to mix emotion into the decision making and that makes dealing with managing the investment messy when things go sideways.

He feels emotionally attached to people who have had to hustle for a few years working a crappy job and building up credit because that is what he did.

@Luke OkaneThis is how I did my first two house hacks (along with converting a garage to rent separately) from the main house.

Our guests have their own entrance and are totally separate from our living quarters, and we still enjoy more than 1,000 square feet of our own space.