The house is dated and unoccupied, so I'm trying to be smart with design choices and spending to increase rent.

They are designed to cover situations where someone may sue you. 

Yes, the fixed, low rate for 30 years (as opposed to the variable HELOC rate) is part of what makes the refinance an attractive option (in addition to the cash out).

Adding my own flare with interior design and making it more Instagramable.

Also if looking to STR- check the zoning, they are policing that hard and only designated areas are permitted for STR.

@Daniel Smyth,"The removal of the service box takes a few minutes."... and if not done by the utility or their designated licensed electrician may be prosecutable.

It isn’t so much the size but how the design is laid out to maximize the space.

Over a 7 year period I think it will be an attractive investment.  

A Realtor is just a designation you get for joining NAR and paying their dues. 

It is a Depression-Era, 1930 single family home with Art Deco design elements located about a block from the city's rejuvenated downtown area, where there are shops and restaurants, and across the street from The Siloam Springs Museum.