Update:
Ok here is a new video with a new scene. So if I keep the closing action to fill I get the same result as the previous video. Horrible geometry and floating off the model. I also cannot clear the mask with the mask tool (only works with SELECT mask tool) and since there is only one object it is selecting the correct object.
Taking your advice I switched to shell extraction and it made a huge difference. On the previous Versions I have always kept it of fill and never experienced it like this. I was able to use the shortcut to clear the mask as well but can’t do it while using the mask tool.
Hope this information helps.