My question is, can I make improvements with the proceeds of the old house to the vacation rental including new floors, carpets, and furniture?

So all inspections signed off and headed down the path to commitment from bank when they are let in to measure for carpet....... 

.- Exterior paint, interior paint - HVAC and water heater appear new, roof appears new- Interior has some water stain marks, replace drywall patches- Replace kitchen with modern cabinets, granite, appliances- Oak floors downstairs hopefully can be refinished- Replace carpet upstairs with composite flooring or nice carpet - stairs are carpeted!

Can anyone recommend where to get carpet for a lower end flip in Louisville, KY.

I got an email for my tenant regarding my carpet runner on the stairs.

You want to walk through to see what upgrades you can do, maybe get a couple rooms painted, some new carpet or a faucet.

The question is - do we cover with new wall to wall carpet or refinish?

The contractor will be removing the kitchen, tile floor and a carpet.  

But inside was a time warp back to the 80s with old flooring, dirty ugly carpet and linoleum.

Make sure you include what he needs to do when a tenant leaves, carpet cleaning, etc and inspections so the tenant can get the deposit money back.