You’re in a win win situation no matter what however I guess you would also want to take in account any major cap x repairs that might be coming up soon in the future you might want to avoid paying. 

Their rates are good but boy, they looked at my financials and ask some funny questions such as asking for proof that I could withdraw funds from my SEP IRA account, and that I need to provide documentation to verify that  this employer sponsored retirement account allows for funds to be withdrawn, or if withdrawals could only be made in connection with the borrowers employment termination, retirement or death etc. everyday they sent me something new to answer.

I see a lot of awesome amenity packed outdoor hang out spaces with outdoor pools posted on the many STR related social media accounts that I follow, but I don't really ever see any pool fences or other safety features highlighted. 

Security deposits have to be held in an escrow account disclosed to the real estate commission which requires a yearly report and all leases need to disclose your license information.

Money came from 50k of savings and 50k borrowed from a 401k account that I am paying myself back in 5 years with a payment of 1000 a month. 

Hopefully your accountant did not file an 8824 reporting the 1031 exchange. 

Not sexy as Lexington but bank account is the ultimate measure of success

There is well developed  case law that points to a guarantor having to receive a benefit in order for the lender to hold them accountable in the event of a default etc.

Yes to avoid taxes and penalties (under 59.5) the money would need to stay in the retirement account.

As soon as you get the leases signed and proof of security deposit and first months rent deposited into your account your can use it.The question should be, do I even need to get the units leased out to qualify ?