I will be traveling to the 2 locations next month and want to get an understanding from someone who has done this how they approach it. 

I don’t understand why my request is denied.

Make sure you understand how this income affects your personal return.

Houston is totally open, from my understanding.

In my understanding, it's possible to rent a house by the room so I thought it should be possible somehow with the same or a similar strategy. 

It's quite easy to get overwhelmed, especially when reading things on BP forums, as you will find yourself researching many different things that people mention to have an understanding of the conversation if you don't have prior knowledge in the field.

It is my understanding the law still allows rental caps at 25% or greater (cap cannot be lower).

Perhaps more importantly, it helps to understand when seller financing is appropriate.

I currently live in Charleston and am a fishing guide by trade so I have a good base understanding of how water moves through salt marsh areas, but it'd make me feel a lot better about this purchase if I could have an expert look at it.

I understand cap rates are not fixed or mandated to be a strict number.