I have bought and sold my own properties and about 5 years ago, my wife became licensed so I have had the luxury of both abilities.On a $5000 commission, I can easily see a fsbo seller losing a $2k-$5k negotiation and there lies the risk.To the original poster, herevare my thoughts for your specific situation, get the best agent you can, sell it as fast as you can, break even orvtake a tiny loss and consider this thevprice o your real world re nvesting education!

I would probably need to add 1 more room in the house (interior, no sqft add), add/change doors, bathrooms, ramps, handle bars, etc. that I think can easily run me 10K or so. 

If the property can support the debt easily I would go that route.  5 year balloons sneak up on you quicker than you think.

Usually easily managed from a distance and come in a wide range of size and quality.

An exceptions is an IRS lien but that is easily handled with proper notice.

You should understand the risk that you can easily get wiped out if the first position lender forecloses.

I could easily stick $40,000 to $50,000 into the house between siding, a new ac unit, hvac unit and everything else.

Because here you can easily blame the seller. rock on!

With this property listed for 7 months, the seller is not in the driver's seat, unless they do not care about selling.

I'm a member of USAA and I have never considered using them for anything other than auto and home insurance along with standard banking.Many local banks have easily beaten their rates for auto loans and it looks like home loans as well.