I've been fixing a bunch of cracked siding panels, so I was on a mission to "fix it all". I came across this one (see red circle in picture below). Oddly (to me), unlike the other sides of the structure this side did not use "finish trim" at the top with the siding panels cut to fit up under it. Instead, the siding panels are uncut at the top, but their nail strips are nailed up under a board. So to fix this, I think I'd have to remove the board, replace the siding panel with one that is longer to fill that gap, then re-attach the board.
1) Will this gap cause trouble (water entering, etc.)?
2) Can anyone explain why this side of the structure would be so different from the others in the attachment of the top of the siding?