So close to 2 full years to obtain optimized rents.Your maintenance/cap ex is far too low for the long term.  

It's automatically MTR (by the month).The best strategy is to do MTR in the low season and STR in the high season.

Currently, a decent house in Waco ranges from the low to mid 200's.

@Jeremy HartwigYou are missing a lot of important data, such as median income of the area, rent comps in the area, what current values are.You are buying on actuals, but in many markets that have low supply and have a lot of demand, it makes it difficult buy based on actuals.

FHA loans with low down payments are ideal for this.In the meantime, focus on improving your credit score and maintaining a solid financial foundation.

Quote from @Bonnie Low: I don't know if Pricelabs would work for MTR.

Off-market deals are the best way to secure a low purchase price, however, finding off-market deals can take some persistence (and luck) Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

I agree that 20k cost estimate is low.

However, about a week ago, I followed up, and the agent mentioned the price had dropped with no activity, and that the occupancy restriction would be lifted after 30 days on the market.I made a low offer, and after some back and forth, they declined but then listed the property on the MLS for less than their lowest counteroffer to me.

, and low entry level price.