•I’d compare this deal to similar non-flood-zone properties—if the return is much better, it might be worth the extra risk.

This would not be the case of an extra 4000 gallons per day, likely only a few hundred gallons.

Should I charge any extra for the person? 

I've also seen the extra space used to make a toy train set up for HO gage trains.  

An example of this would be mixing your personal money and LLC money in the same bank account.3.

If you have to talk about your money, you don't have money!

Ensure your contractor has a clear timeline, keep extra cash reserves, and start marketing your rental rooms early. 

While a properly maintained TN LLC might be sufficient for those who diligently follow corporate formalities, the additional layer provided by the Wyoming entity can offer significant extra protection, albeit with increased complexity and cost.

It's a very murky water between Private Money and Hard Money. 

This was my seed money to start my business.Aug 2021 - My first rental property was a side by side town house that required me to put down $55K and generated $950 per month in cashflow.