I would recommend you talk to @Tim Swierczek about financing options, most people finance their first property under FHA which is fine however it may limit your ability to expand. 

I am not limiting myself to Washington, if there are good deals in other market areas I am willing to check those out!

If you measure the totality of your investment, mean cash flow, debt reduction, appreciation, rent growth etc you will always make more money in the areas of high demand like DC, Boston, Seattle etc than you will make in a pure cash flow market like you will in the mid west.There is always the possibility of your rate going higher, but thats the trade off of a lower rate with the arm.

Hey @Paul Zackey and @Alex Cornwell,I have Limited experience, but I know a few contractors who do it (I cant personally reccomend) and a mortgage officer who is very familiar with them.

So after you're done rehabbing, if you transfer title back into your name, you'll have to wait an additional 6 months (unless you want to be limited by the purchase price as your value).

In the Denver area the trend is for the larger municipalities ie Denver and Aurora to limit STR to primary residences or stays or 30 days or longer.

None of our properties are RV parks or Campgrounds though, so we are limited by code.It works out good for us. 

I want to finance for purchase and cash out refinance some other properties which I own with 100% equity.My credit score is 740.My work contract is limited and will end Dec 2018.

I have always been acutely aware of this limitation because in real estate we often do business with people that we also invest with.

Furthermore, when you decide to sell these types of properties you will have a very limited buyer pool.