Is there a certain size (Bedroom,Bath) that you target or have noticed work better for rentals? 

I would say if cashflow is positive and your criteria has been met I wouldn't worry too much about the appraisal.

Sounds like you're doing all the right things to position yourself for your first purchase.I couldn't agree more with @David Cruice - I think it will be important for you to find a local bank / credit union to build a relationship. 

At this point, however, the cost of entry is very high, and I don;t know if appreciation will continue at the same rateIndiana is cash flow positive immediately, but doesn't appreciate in the long term as much- historically. 

If I won’t have a positive cash flow each month, is it a smart investment?

I plan on using the HELOC/Refinance money to put down payments (or cash purchase) on a couple of more properties, so I was leaning more towards the Refinance because of the rate increase risk, but I definitely see the positives with the HELOC!!

The firm I work at has never actually been put in the position of having to uphold the DST's validity, as it is pretty well-established.

Glad people are noticing :)   I'm always happy to help. 

They stopped paying rent so we served a 3 day notice.

There are positive aspects to Wilmington, appreciation isn't one of them.