I have been putting off inspecting the bathroom further until today and decided to peel back some of the paneling and see what kind of dry rot issues we might have in there. At some point a previous owner had covered up water damage by laying paneling on top of the bad areas and I removed that. You can see some of the cover up panels in the photo below:
After removing the paneling I found LOTS of dry rot. Making matters worse the rot isn’t just limited to the paneling – it is all the way through to the structural core of the trailer. The wood is rotted so bad that I can literally remove with the vacuum. I am going to have to remove all the paneling in the bathroom and check for further rot areas.