I was planning to use the FHA 203K loan for Acquisition with Exit strategy for flip or Rent and Refinance. 

I was planning on fixing and flipping a few of the one’s that have not been but updated.

I currently occupy the principal room, leaving two vacant rooms.My plan is to rent out one of the vacant rooms to someone I know, but I'm seeking advice on the tax implications of this move.

I plan to keep this property as the rental income is already excellent.I too experienced the same challenges of balancing responsibilities as a father, husband, realtor, investor, coach, Airbnb host, etc.....Let me tell you, this past year wasn't easy!

I would plan on moving when your lease expires, because this landlord is likely to issue you non-renewal or raise your rent.

Liquidity is a good point, but muted by the fact that many real estate investors never intend to sell out entirely for estate planning reasons and that they can gain use of the equity by leveraging the asset if they need to.

If not, I’ll plan for following date.

I was planning to use the FHA 203K loan for Acquisition with Exit strategy for flip or Rent and Refinance.

Or if the intention is to long term buy and hold but those plans change and the property is sold after 11 months, is still long term cap gains (if there are any cap gains, probably not in this case unless improvements were made)?

The outcome was that the rehab cost more than we planned on, we held the property for a little longer than we wanted to, but we made money and are excited for our next deal.