Knowing where you're at in the journey allows you to switch products at different stages (IE at 4 properties, or when you get to 5, or 10, or 15+ and 20+ because pricing/terms change as you progress).I think the local banks and credit unions service another gap as their rates typically tend to be better but there are cons as well such as balloon loan features that require a refi/exit/sale at the end of 5-15 years.Depending on your strategy and outlook weaving different products can help solve your gaps in your strategy going forward.For instance, for me I didnt want a fixed term cash out commercial note so I just did a blanket commercial line across multiple APN# parcels because, we never know when a deal will come up and sometimes having interest charges with no deal doesnt make sense as the funds burn a hole in the pocket so to speak.As soon as I find a property suitable for a project I may use the lines to fund the project with an eventual commercial refinance out when it hits completion in order to pay back down the lines (reload for the next project).

The property requires a lot of work since it suffered a major fire.

The other issue with 'second set of eyes' for someone to look over your work is that the person doing that may be required to 'sign' as a preparer which can then put the firm at more risk.

FHA has more restrictions, higher monthly mortgage insurance (MI) and requires a refinance to drop MI in the future.

It's a fairly large project that will require significant time investment.

Having a pool is helpful but not required.

The more you do it, the more you want to do it again and again.When doing conversions, updating baths, creating new bedrooms/bathrooms, etc. make sure you do your research on local codes and permits required. 

If the land requires for improvements then I'll do it.

Would a refinance like that require the same amount of cash down if you already own the property?

Strategy 1 requires more upfront investment and carries a higher risk of vacancy but offers higher potential returns.