Of course, the main project will be text only, so the image production won't impact the main production. This will only be an extra tht may even attract the people who don't like text only games. If I was going to try and shoot for incorporation into the main production, the thing you are saying to stay away from, I would have said so. I'm not the kind of person to beat around the bush, I like to get to the point as soon as possible.Would definitely stick to text only. Story is going well and the way it's presented is nice. Maybe keep a way to insert images for the future if you do eventually get the time and resources to add them.
I'm well aware of the territory I'm getting into and I do plan to run anything questionable by the mods first. I will make changes when needed. At least in my country, as long as there can be no mistake that it is fake, like with using Illusion assets, such as Koikatsu or AI Shouo, I'm safe. I can't use real people, but I never planned to as I don't want law trouble.For the sexy time content, hate to say it but it is a porn game, and I for one will not turn down more sexy times. If you want to write a sfw novel then more power to you, but I think you are advertising to the wrong audience.
For the money issue, it is your project and your work. No matter how you monetize it in the end I do understand that you have to make a living somehow. I personally would like to see a newest version for paying supporter and a free version that is released after X time or new version. I advise the time option, as it gives the content out to the rest of us even if you decide to take a break or something happens in life.
For the Images. While I would love images, do be careful. The "younger" patch means this always sits in a grey area of websites, and everyone has different levels of what type of this content they are ok with. Personally, I think hiring a artist would be ideal, as it leaves you time to focus on the rest of the game and I dunno if you have any experience with artistry/rendering. *shrug* If you do hire, the only thing I can say for sure is to make sure the artist is fully aware and agrees to what his/her work is being used for, and that they do not maintain exclusive rights to the artwork once it is paid for. I'm just remembering stories from other games that fell apart after the artist backed out and took an unrecoverable chunk of the game with them due to licensing.