Hi @Alex Lee I would avoid 203K loan and work with conventional renovation loan based on knowing you'll be forced to use 203k certified contractors which will cost more money and offer inflated pricing because they must follow 203k guidelines. 

However, the entire market depends on Robins Air Force Base, with not much else moving the needle.

The family purchased a lakefront property in a nice area three years ago but then ran into a series of issues, and have abandoned the place because of them.They are hoping the bank allows a short sale (asking for roughly $20,000 under what is owed)Here's what's made them so unhappy:Anytime they used the laundry it was dumping into a dry well, which would back up into the house forcing them to take their laundry to a laundromat instead!!

The access to capital is not necessarily a driving force in my pursuit.

I doubt they have any security measures against brute-force attacks on your account password. 

Option 2: Electrician recommended mini splits - said 2 units should do the trick and would cost around $6-$7k.Heating system 2 is forced hot air oil furnace specifically for the 3rd unit.

You can offer to buy the upstairs residents an area rug, but I wouldn't force it on them.   

Force a build out, bring demand! 

They seem to either go one way or another, NO investors with strict HOA rules, or full force on investors. 

When will the government wonks realize it is hard to force the free market to solve a problem they helped create?