Fading in or out videoFX can be done by using keyframes om the small timeline at the bottom of the VideoFX window (which pops up when you add an FX to an event or track).
The way you describe the problem, I would say there is nothing you can do anymore. But if you still want to try, I believe that your best change is iZotope RX. At least you can try the trial version
Why do you want to ‘upgrade’ from 32bits Vegas 9 pro to 64bits Vegas 8.1 Pro? If you have purchased Vegas 9 pro, you can download the 64 bits version of Vegas pro 9 for free
When you press the LOCK ASPECT RATIO button in the TRACK MOTION WINDOW, you will not squash the text. And even better would it be when you generate the text and the background on different layers. That would give you maximal flexibility.