The lower rate or longer term can also make the payment more affordable. 

Refinancing isn’t an option yet because of the way we purchased it (unless someone has a bank that will look at the deal differently) our original plan was to pay off our balloon in early 2027 when it is due which the bank will treat as a purchase and then we would wait until we are able to refinance so probably 2028 and then we could pull out a good chunk of equity at that time.

Before I invest in furnishing the unit I was curious about how much demand there is for mid-term rentals in south Denver.

The main house is original (this place was built in 1924, very cool) and we rent it for $1,650/month.

I agree with @Collin Hays especially in a state like NJ that is very one sided in terms of landlord/tenant situations.

You need to take a longer-term view of how it's likely to perform in the future.

At the very least, I would request a refund of the original application fee as the City made a mistake causing you to have to submit again.  

.: Does anyone have any information about the short term rental market in Kyle Texas?

Absolutely - East Hill is a really popular area for traveling heath care professionals, as well as military on short term TDY orders who are looking for furnished stays.Keys to success for my condo have been keeping the furniture fresh, and not looking like every other listing out there.

Your decision to lease this property for short periods is what makes this a short term rental property, not the property itself.