I suggest putting in at least 4 inches to cap your building and improve energy consumption, At the time of the tear off coordinate renting a blown insulation machine too and you can add insulation from the roof into the attic/crawl space above the ceiling level to avoid interior repairs.

It will need improvements to get a renter, but I'm not sure how much (or how little) I could get away with.

You normally do some renovation to the property to improve the value.

Real estate is transferred, and identified, by the Land legal description (along with all the improvements on it), so as long as the lot description is correct, it should be a simple correction.

There may be private money out there for longer term loans, but you would likely pay a much higher interest rate.You can improve your credit score by huge amounts in about 6 months.

Work on improving your current holdings so you can increase the rent and just wait.  

I hope I am asking the correct question:If I am purchasing and improving a flip with the following scenario, how would the interest being deducted in terms of when I capitalize on the property?

I really enjoy the science vs art part of it, seeing consumers improve over time, vs fall-back behavior.  

I'm using a hard money lender now for a flip in Northern NJ and they are lending 90% of the purchase, 100% of improvements up to 70% ARV.Adam

Look at interior design, or home improvement magazines.Ultimately, look at what's around you.