Welcome Stephen,I like your plan, I'm in the process (accepted offer), of my 1st vacation rental.Here is a link to the forum for VR (vacation home rentals),http://www.biggerpockets.com/forums/530-short-term...You may find it full of useful info as well as reading/listening to anything from Heather Bayer (who has her own podcasts), & Matt Landau.Check out VR listing sites like VRBO & airbnb, if you haven't already, you will see what your competition is doing and decide what amenities you will need, to be competitive (like perhaps a hot tub).  

In the description it mentions that "landlord pays water, hot water, and common area electric."

@Rod Witmond really hit the nail on the head here, regarding this being largely a black hole where the market has just moved much faster than regulation.

Dallas is a hot area now but keep on mind that in some areas just crossing the street will be the difference between $110ft and $90ft.

Its a hot market for sellers and very difficult to find a flip or even rentals with numbers that make sense.

Builds a feeling of "hot" demand, like a mini auction. 

They were in my service area so I got plenty of nose time 1000 feet or less from the plant and on hot, still days it was rank. 

Occasionally you'll install it outside the building in a hot-box or vault with drainage & freeze protection. 

That said, can I confirm the hot water heater broke?  

The rental market in San Luis Obispo is hot, like really hot.