Well here I am again.
I went and traded the master cylinder in and got two calipers in exchange at the parts store. I also tried to find a plug for the brake lines, but seems they screw onto the caliper with a bolt, so I didn't think there was any good way to plug them.
I checked over the rubber hoses. Although somewhat nasty looking, they seemed to be fine. I pushed the pedal and held it there with a 2x4 and looked for bulges.. Nothing.
Great. I put both calipers on, bled the brakes and nothings changed.
At this point I am ready to drive it to the junkyard and leave the keys!
I am out $60 bucks in calipers and the problem has not gotten any better.
I can't do this anymore.. I am taking it to the brake shop tomorrow. I need it, the F-250 is killing me. Spent $65 to fill it Monday and it is on 1/2 tank already. I think running the hubs locked and occasional 4wd might be making the mileage worse (we got 4 inches of snow this morning) but I still cannot afford to keep filling it up!